EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
Contingency 6% Contingency Project Completion
Period $600,577.23 $0
Lead Entity Indirect Costs
Indirect costs consistent with the
TCC guidelines and grant
agreement, at a rate approved
under this grant agreement.
Project Completion
Period $360,346.34 $0
Project Total $6,966,695.91 $4,995,504.41
Workforce Development and Economic Opportunities Plan Lead Entity: City of Richmond Plan Description: The dual Expanded Richmond Workforce Development Program and Richmond Solar Workforce Program will work collectively guided by a Place-Based Workforce Strategy to reduce barriers to workforce entrance and to train Project Area residents for jobs in the installation of solar PV and related clean energy career pathways - high-quality jobs that are growing in the City of Richmond. Funding will support the recruitment, development and implementation of immersive training experiences.
Special Reimbursement Conditions: N/A
Task Deliverable(s) Timeline Grant Funds Leverage Funds Task 3: GRID Solar Workforce Program
A: Develop & coordinate curriculum
for 5-week long trainings (GRID IBT-
200) on solar installation and general
construction skills.
A: Summary of training
curriculum developed with
industry-informed standards
and learning outcomes.
Project Completion
Period $646,250.00 $0 B: Recruitment of trainees from
Project Area for solar installation
trainings. Goal of at least 60% of low-
income residents from Project Area
for each training.
B: Annual Recruitment Report
including (but not limited to):
outreach conducted (overview
of methods, dates/locations,
139
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
and potential contacts
identified)
C: Develop and implement tracking
process for job placement and
retention
C: Tracking process outline
D: Coordinate with Richmond's
Workforce Development Board to
identify collaboration opportunities
and additional potential local partners
that GRID should connect with.
D: Meeting summary including
(but not limited to) potential
partners and collaboration
opportunities.
E: Lead 5-week long (IBT-200)
training on solar installation and
general construction skills, plus,
OSHA 10 safety training certificates.
Host one training per year for 5 years.
E: Annual report including (but
not limited to): training
curriculum provided, trainee
completion rates (goal of 75%
or higher), and completed
credentials to be provided
each progress report
F: Host 2 employer showcases and/or
job fairs per year for 5 years to
connect trainees with jobs and provide
ongoing job placement data tracking
and follow-up in accordance with
tracking plan.
F: Annual Summary report of
job placements for program
completers in high-quality
career pathways related to
training. Minimum 50%
placement rate for trainees
within 1 year of program
completion, minimum 20 job
placements (50% placement
rate)
140
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
G: Project management including
reporting and tracking of metrics for
program implementation
G: Bimonthly progress reports
including (but not limited to):
Project metrics, deliverables,
and jobs reporting
Contingency 10% Contingency Project
Completion Period $64,625.00 $0
GRID Indirect Costs
Indirect costs consistent with
the TCC guidelines and grant
agreement, at a rate approved
under this grant agreement.
Project
Completion Period $64,400.00 $0
Plan Total $775,275.00 $0.00
141
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
SPECIAL TERMS AND CONDITIONS
PART 1 – Transformative Requirements
1. Workforce Development and Economic Opportunities
Grantee will establish goals for workforce training, employment, and local business expansion for the TCC Project Area;
Grantee will ensure workforce development components are designed to address local residents’ and stakeholders’ needs;
Grantee will conduct or oversee workforce development and economic opportunities activities for the entirety of the TCC Project;
Grantee will report to SGC on workforce development and economic opportunities related activities; and
Grantee will ensure all Workforce Development costs are for eligible job training programs per Section II.E of the TCC Guidelines.
Part 2 – Project-Specific Terms and Conditions
Grantee certifies that it will ensure that the Lead Entity of each Project adheres to the following requirements.
2. Solar Installation, Energy Efficiency and Appliance Electrification Single-Family Residences
i. Single-family homes occupied by property owners are eligible for energy efficiency and Solar Photovoltaic (PV) installations. Single-family homes occupied by tenants are eligible for only energy efficiency installations.
ii. Lead Entity must have single-family property owners certify that they will not raise the rent of any property with energy efficiency and/or Solar PV installations for a period of two (2) years from the date of installation because of the increased value of the unit due solely to the installations provided (allowable factors for rent increase can include an actual increase in property taxes, actual cost of amortizing other improvements to the property accomplished after the date of work completed by the Partner and/or subcontractor, or actual increases in expenses of maintaining and operating this property). Additionally, the property owner must acknowledge and agree that the property is not for sale at the time of qualifying for the installations and will not be offered for sale or otherwise distributed or is not in foreclosure for at least sixty (60) calendar days following the completion of the installations. iii. Household income eligibility must be established at either 80% of the Area Median Income (AMI), or 80% of the State Median Income (SMI), whichever results in a higher allowable maximum income.
iv. The following types of buildings will not be eligible for installations:
a. Buildings requiring significant environmental review, any mitigation, including mitigation of fire hazards or electrification and/or environmental decontamination triggering a deferral as defined in the Deferral Policy section; 142
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
b. New buildings or buildings rebuilt or remodeled or retrofitted to meet Title 24 standards (Part 6, of the California Code of Regulations) are not eligible for energy efficiency installations, but are eligible for Solar PV installations; c. Buildings that are structurally unsound or condemned; d. Buildings under a legal cloud or importuned by illegal activity; e. Buildings that have been modified under the Low-Income Weatherization Program (LIWP), the Low-Income Home Energy Assistance Program (LIHEAP) or Department of Energy (DOE) federal programs within the past four (4) years, do not qualify for energy efficiency measures, with the exception of assessment for and installation of Solar Water Heating, and may receive Solar PV, if qualified. v. Buildings that have received only LIWP-funded Solar PV may qualify for energy efficiency measures.
vi. Each building must be assessed for suitability before proposed energy efficiency and/or Solar PV installations occur.
vii. Property owners are responsible for certifying participation in any additional energy efficiency upgrade programs that have resulted in modifications to the identified buildings within the project.
viii. All work performed must be in compliance with current and applicable provisions of the California Energy Commission Building Energy Efficiency Standards, Alterations under Title 24, Part 6, of the California Code of Regulations, California Home Energy Rating System (HERS) Program regulations. Standards within the current Uniform Building Code and local city and county codes should be adhered to. ix. Work provided to all covered pre-1978 buildings must be in compliance with current Environmental Protection Agency rules in 40 CFR 745 (Code of Federal Regulations), Lead-Based Paint Poisoning Prevention in Certain Residential Structures and the Housing and Urban Development rules in 24 CFR 35, as applicable to energy efficiency installations.
x. Solar Installation projects on single-family residences are invoiced on an agreed dollar per watt basis, reviewed and approved by the TCC Grant Manager prior to invoicing, or based on itemized invoices of actual costs incurred.
Multi-Family Residences
i. Multi-family properties must demonstrate at least 66% of households residing at the property meet the household income eligibility requirements to be eligible for Solar PV or energy efficiency installations. Multi-family properties, deed restricted and/or subsidized properties must provide regulatory agreements with the applicable local agency showing compliance with the income eligibility requirements. ii. Lead Entity must ensure that the property owner or manager certify that the rents for the qualified low-income units will not be increased for a period of two (2) years because of the energy efficiency and/or Solar PV installations and/or major capital improvements. Lead Entity must also require the property owner or manager agree that any units which are designated as vacant as of the effective date of the installations, must be rented to or occupied by a household at an income level such that at least 66% of households residing at the property meet the income eligibility 143
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
requirements. Lead Entity must require the property owner or manager not to evict or commence any eviction proceeding against any tenant(s) of any qualifying unit in the building as a result of upgrades, except for cause and subject to all legal requirements and procedures for any such eviction and/or proceeding. iii. Household income eligibility must be established at either 80% of the Area Median Income (AMI), or 80% of the State Median Income (SMI), whichever results in a higher allowable maximum income.
iv. The following types of buildings will not be eligible:
a. Buildings requiring significant environmental review, any mitigation, including mitigation of fire hazards or electrification and/or environmental decontamination triggering a deferral as defined in the Deferral Policy section; b. Buildings with significant energy efficiency upgrades installed within the previous five (5) years, unless energy savings goals can be attained at a reasonable cost through the implementation of additional measures;
c. New buildings or buildings rebuilt or remodeled or retrofitted to meet Title 24 standards (Part 6, of the California Code of Regulations) are not eligible for energy efficiency installations, but are eligible for Solar PV installations; d. Buildings that are structurally unsound or condemned; e. Buildings likely to be sold as evidenced by position in the market and refinancing cycle;
f. Buildings under a legal cloud or importuned by illegal activity; g. Property under single ownership, including closely held affiliates that, in the aggregate, total more than 1,000 units receiving energy efficiency and/or Solar PV installations.
h. Buildings that have previously received LIWP-funded energy efficiency measures within the past four (4) years do not qualify for additional energy efficiency measures, with the exception of assessment for and installation of the following:
(i) Solar Water Heating
(ii) Solar PV
iv. Each building must be assessed for suitability before proposed energy efficiency and/or Solar PV installations occur.
v. Property owners are responsible for certifying participation in any additional energy efficiency upgrade programs that have resulted in modifications to the identified buildings within the project.
vi. All work performed must be in compliance with current and applicable provisions of the California Energy Commission Building Energy Efficiency Standards, Alterations under Title 24, Part 6, of the California Code of Regulations, California Home Energy Rating System (HERS) Program regulations. Standards within the current Uniform Building Code and local city and county codes should be adhered to. vii. Work provided to all covered pre-1978 buildings must be in compliance with current Environmental Protection Agency rules in 40 CFR 745 (Code of Federal Regulations), Lead-Based Paint Poisoning Prevention in Certain Residential Structures and the 144
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
Housing and Urban Development rules in 24 CFR 35, as applicable to energy efficiency installations.
viii. Solar Installation projects on multi-family residences must be invoiced based on itemized invoices of actual costs incurred as defined in Section 14. Invoicing.
Assessment, Certification, and Compliance Requirements for Single- and Multi-Family Residences
i. Energy efficiency measures must be replacements of inefficient measures and eligible per these Guidelines.
ii. Lead Entity must keep records of project assessments, certifications, and compliance.
Lead Entity may refer to the Department of Community Services and Development’s (CSD) Low-Income Weatherization Program (LIWP) standards and forms for examples of information to collect and record retention. Information collected must include, but is not limited to:
a. Intake forms with information including, but not limited to household income, household members, eligibility, and energy service currently used; b. Property owner consent to receive energy efficiency and/or Solar PV installations; c. Property owner certification to comply with Single-Family Residence and Multi- Family Residence requirements outlined above;
d. Confirmation that property owner has been informed of potential hazardous materials exposure during energy efficiency and/or Solar PV installations, as such hazards are identified;
e. Documentation that a building assessment has been completed (pre-and-post project completion).
f. Property owner confirmation that proposed energy efficiency and/or Solar PV installations were received and installed properly;
g. Documentation showing why energy efficiency and/or Solar PV installations were deferred or denied, as applicable;
h. Documentation of compliance with the Department of Public Health’s Renovation, Repair, and Painting Rule (RRP) (40 Code of Federal Regulations 745), as applicable;
i. Documentation of trainings taken by certified renovators (per RRP), as applicable; and
j. Documentation that property owner has signed the California Solar Consumer Protection Guide (https://www.cpuc.ca.gov/solarguide/) prior to installation, as applicable to interconnection of residential solar customers in the investor-owned utility service areas of Pacific Gas and Electric Company (PG&E), Southern California Edison (SCE), and San Diego Gas & Electric (SDG&E).
Operations and Maintenance for both Single- and Multi-Family Residences i. The Lead Entity is responsible for providing verbal and written instructions for each installation to the property owner describing proper operation, maintenance requirements, system components, warranty information, programming of controls, and safety considerations, as applicable. This must occur prior to project completion.
All work must be in accordance with the CSD LIWP Measure Standards. System 145
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
sizing should be in accordance with the TCC Round 4 Guidelines, which may be updated to provide greater flexibility for system size requirements. ii. The Lead Entity must establish and maintain policies and procedures for handling complaints in accordance with the CSD LIWP Measure Standards. a. The policies and procedures shall be in writing and shall be provided to interested individuals upon request. Complaints may include, but are not limited to, equipment failure during the warranty period, and incorrect installation of equipment. The Lead Entity should retain records of all complaints, and how they were resolved, in the event of an audit.
Deferral Policy for both Single- and Multi-Family Residences i. Conditions may exist which cannot be mitigated because corrections exceed the scope of this program or cannot be achieved in a cost-effective manner. In these instances, contractors shall install feasible measures and, as applicable, refer the property owner to other agencies/programs for additional assistance. Once conditions have been corrected, installations for which the property qualifies may be installed. Presence of any of the conditions below shall require deferral of all installation activities:
a. Mechanical, electrical, or plumbing system is in such disrepair that failure is imminent.
b. An environmental condition exists that endangers the occupants or contractor workers. (Example: standing water/sewage, mold, friable asbestos, etc.). c. Evidence of significant infestation of rodents, insects, and/or other vermin is present.
d. Moisture conditions within the building are severe and infiltration reduction measures are not feasible.
e. Building is condemned, is under remodeling or rehabilitation, or has structural issues.
f. Building has unsafe air quality. (Examples: sewage, significant animal feces in the building, improperly stored chemicals, combustible materials, or other fire hazards present a danger to the occupants or workers, etc.)
g. Building is pre-1978 construction and paint is seriously degraded and/or damaged, creating a hazardous condition with paint chips or dust. h. Manufactured housing registration is not current or in good standing, and a Department of Housing and Community Development permit will not be granted. i. Occupant has a known health condition/s that would be made worse by installation activities.
j. Maintenance or housekeeping practices limit access of workers to the property for diagnostics or services.
k. Property owner refusal of combustion appliance safety (CAS) testing l. Hazardous combustion appliance conditions that cannot be remedied through repair or replacement.
146
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
m. Property owner is uncooperative, abusive, or threatening to installation personnel. n. Illegal activities are taking place in the property. ii. A contractor may need to defer some or all services when unsafe conditions require repairs or replacements that exceed the scope or funding of this program (known as a limited deferral). When this occurs, the contractor shall provide written and photographic documentation of the condition. Once conditions have been corrected, measures for which the property qualifies may be installed.
End-of-Life Notification Policy for Third-Party Ownership Agreements i. Lead Entity must make a good faith effort to ensure notifications and instructions on the end-of-life options are provided to the property owner via multiple communication channels. Lead Entity and third-party ownership (TPO) subcontractors shall not automatically renew the solar installation agreement or charge automatic payments to homeowners until this good faith effort to notify property owners has been completed according to the plan outlined below:
a. Lead Entity must notify the property owner using at least two different forms of communication, such as email, telephone, and/or a written letter. The chosen communication forms will be dependent on availability of contact information and communication preferences of the client, including language preferences or any necessary accommodations. Lead Entity must ensure the notification process starts at least 60 calendar days prior to the end of the solar installation agreement which provides and allows for free repairs, insurance, and warranties during a specific agreement term (e.g., 20 to 25 years), at the end of which the ownership turns over to the TPO entity.
b. If contact is not established with the property owner through the process identified above within 30 calendar days prior to the expiration of initial solar installation agreement term, Lead Entity must attempt to make contact in-person with the property owner. Notification in-person will consist of either one visit to the home with a written notification left at the home if contact isn’t made with the property owner, or, a notification via certified mail requiring a signature from the property owner. Lead Entity will make a good faith effort to carry out more than one attempt of in-person notification.
c. If, after Lead Entity has taken all of the above-required actions and the property owner has not responded or is unable to be found or contacted, the property owner's solar agreement shall be automatically renewed in accordance with the original solar installation agreement and the property owner shall continue to be subject to all of the terms and conditions of that agreement. ii. In the event of a change in ownership, the original solar installation agreement signed by the homeowner should be made available to any future owner of the home through the real estate disclosures and transfer process.
147
For the Contract between the City of
Richmond and
EXHIBIT B
PAYMENT PROVISIONS
{PLEASE NOTE THAT THE CITY OF RICHMOND SHALL NOT PAY FOR SERVICES
THAT EXCEED THE CONTRACT PA YMENT LIMIT UNLESS A CONTRACT
AMENDMENT HAS BEEN APPROVED BY THE CITY COUNCIL OR THE CITY MANAGER}
1. Provided Contractor is not in default under this Contract, Contractor shall be compensated as provided below.
2. Any and all payments made pursuant to this Contract shall be subject to the Contract Payment Limit. The Payment Limit includes expenses (phones, photo copying, meals and travel etc). Invoices, shall be adequately detailed, based on accurate records, and be in a form reasonably satisfactory to the City. Contractor may be required to provide back-up material upon request.
3. Contractor shall submit timely invoices to the following address:
Attention: City of Richmond, Finance Department - Accounts Payable Project Manager: Department:
PO Box 4046
Richmond, CA 94804-0046
4. All invoices that are submitted by Contra ctor shall be subject to the approval of the City’s Project Manager, before payments shall be authorized.
5. The City will pay invoice(s) within 45 days a fter completion of services to the City’s satisfaction. The City shall not pay late fees or interest.
6. A Richmond business license shall be obtained before any payment under this Contract shall be authorized and the business license must be kept current during the term of this Contract for payments to continue to be authorized.
7. All insurance coverage required by this Contract shall be provided by the Contractor before this Contract shall be executed by the City. The insurance coverage must be kept current during the term of this Contract for payments to continue to be authorized. 148
For the Contract between the City of
Richmond and
EXHIBIT C
AUTHORIZED REPRESENTATIVES AND NOTICES
1. Notices
. All notices, demands, statements, or communications provided for by this Contract shall be in writing and may be delivered by deposit in the United States mail, postage prepaid. Notices to the City shall be addressed to the Department Head and (as delineated below in section 1.1) to the project manager responsible for the administration of or the supervision of the scope of work under this Contract. Notices to the Contractor shall be addressed to the party designated by Contractor (as delineated below in section 1.2). Notice shall be deemed delivered (a) upon personal delivery; (b) as of the fifth business day after mailing by United States certified mail, postage prepaid, addressed to the proper party; or (c) as of 12:00 p.m. on the second business day immediately after the day it is deposited with and accepted by Federal Express, or a similar overnight courier service, addressed to the proper party and marked for next business day morning delivery. For the purposes of this Contract, a "business day" means any day Monday through Friday that is not a holiday recognized by the federal government or the State of California.
1. 1 CITY hereby designates as its Authorized Representative the Project Manager whose name and address are as follows:
City of Richmond
Richmond, CA 94804-0046
1. 2 CONTRACTOR hereby designates as its Authorized Representative the Project Manager whose name and address are as follows:
149
General Conditions/EJ/TE 01-19-11 1 of 13
EXHIBIT D
GENERAL CONDITIONS
1. Independent Contractor . Contractor acknowledges, represents and warrants that Contractor is not a regular or temporary employee, joint venturer or partner of the City, but rather an independent Contractor. This Contract shall not be construed to create an agency, servant, employee, partnership, or joint venture relationship. As an independent Contractor, Contractor shall have no authority to bind City to any obligation or to act as City's agent except as expressly provided herein. Due to the independent Contractor relationship created by this Contract, City shall not withhold state or federal income taxes, the reporting of which shall be Contractor's sole responsibility.
2. Brokers . Contractor acknowledges, represents and warrants that Contractor has not hired, retained or agreed to pay any entity or person any fee, commission, percentage, gift, or any other consideration, contingent upon or resulting from the award or making of this Contract.
3. City Property . The rights to applicable plans, drawings, reports, calculations, data, specifications, videos, graphics or other materials prepared for or obtained pursuant to this Contract, which, upon request, are to be delivered to City within a reasonable time, shall be deemed assigned to City. If applicable, Contractor shall prepare check prints upon request. Notwithstanding the foregoing, Contractor shall not be obligated to provide to City proprietary software or data which Contractor has developed or had developed for Contractor's own use; provided, however, that Contractor shall, pursuant to Section 15 below, indemnify, defend and hold harmless City from and against any discovery or Public Records Act request seeking the disclosure of such proprietary software or data.
4. Patents, Trademarks, C opyrights and Rights in Data
. Contractor shall not
publish or transfer any materials, discoveries, developments, concepts, designs, ideas, know how, improvements, inventions and/or original works of authorship resulting from activities supported by this Contract without the express prior written consent of the City Manager. If anything resulting from activities supported by this Contract is patentable, trademarkable, copyrightable or otherwise legally protectable, City reserves the exclusive right to seek such intellectual property rights. Notwithstanding the foregoing, Contractor may, after receiving City's prior written consent, seek patent, trademark, copyright or other intellectual property rights on anything resulting from activities supported by this Contract. However, City reserves, and Contractor irrevocably grants, a nonexclusive, fully paid-up, royalty-free, assumable, perpetual, worldwide license, with the right to transfer, sublicense, practice and exploit said license and the right to make, have made, copy, modify, make derivative works of, use, sell, 150
General Conditions/EJ/TE 01-19-11 2 of 13
import, and otherwise distribute under all applicable intellectual properties without restriction of any kind said license.
Contractor further agrees to assist City, at City's expense, in every proper way to secure the City’s rights in any patents, trademarks, copyrights or other intellectual property rights relating thereto, including the disclosure to City of all pertinent information and data with respect thereto. Contractor shall also assist City in the execution of all applications, specifications, oaths, assignments, recordations, and all other instruments which City shall deem necessary in order to apply for, obtain, maintain and transfer such rights, or if not transferable, to waive such rights. Contractor shall further assist City in the execution of all applications, specifications, oaths, assignments, recordations and all other instruments which City shall deem necessary in order to assign and convey to City, and any assigns and nominees the sole and exclusive right, title and interest in and to any patents, trademarks, copyrights or other intellectual property rights relating thereto. Contractor further agrees that its obligation to execute or cause to be executed, when it is in Contractor's power to do so, any such instruments or papers shall continue during and at all times after the end of Contractor's services and until the expiration of the last such intellectual property right. Contractor hereby irrevocably designates and appoints City, and its duly authorized officers, agents and servants, as its agent and attorney-in-fact, to act for and in its behalf and stead to execute and file any such applications and to do all other lawfully permitted acts to further the application for, prosecution, issuance, maintenance or transfer of letters of patents, copyright and other registrations. This power of attorney is coupled with an interest and shall not be affected by Contractor's subsequent incapacity.
5. Inspection
. Contractor's performance, place of business and records pertaining to this Contract are subject to monitoring, inspection, review and audit by authorized representatives of the CITY, the State of California, and the United States Government.
If the project or services set forth in Exhibit A shall be performed on City or other public property, City shall have the right to inspect such work without notice. If such project or services shall not be performed on City or other public property, City shall have the right to inspect such work upon reasonable notice.
6. Services
. The project or services set forth in Exhibit A shall be performed to the full satisfaction and approval of City. In the event that the project or services set forth in Exhibit A are also itemized by price, City, in its sole discretion, may, upon notice to Contractor, delete certain items or services set forth in Exhibit A, in which case there shall be a corresponding reduction in the amount of compensation paid to Contractor. 151
General Conditions/EJ/TE 01-19-11 3 of 13
Contractor shall, at its own cost and expense, furnish all facilities and equipment necessary for Contractor to complete the project or perform the services required herein, unless otherwise provided in Exhibit A.
7. Records
. Contractor shall keep and make available for inspection and copying by authorized representatives of the City, the State of California, and the United States Government, the Contractor's regular business records and such additional records pertaining to this Contract as may be required by the City.
Contractor shall retain all documents pertaining to this Contract for a period of five (5) years after this C ontract's termination (or for any further period that is required by law) and until all Fede ral or State audits are complete and exceptions resolved for this contract's funding period. Upon request, CONTRACTOR shall make thes e records available to authorized representatives of the CITY, the State of California, and the United States Government.
Contractor shall keep full and detailed accounts, maintain records, and exercise such controls as may be necessary for proper financial management under this Contract. The Contractor’s accounting and control systems shall be satisfactory to City. Contractor's accounting systems shall conform to generally accepted accounting principles and all records shall provide a breakdown of total costs charged under this Contract, including properly executed payrolls, time records, utility bills, invoices and vouchers. The City shall be afforded prompt access to Contractor's records, books, and Contractor shall preserve such project records for a period of at least five (5 years after the termination of this Contract , or for such longer period as may be required by law.
Contractor shall permit City and its authorized representatives and accountants to inspect, examine and copy Contractor's books, records, accounts, correspondence, instructions, drawings, receipts, subcontracts, purchase orders, vouchers, memoranda and other data relating to the project or services set forth in Exhibit A, and any and all data relevant to this Contract at any reasonable time for the purpose of auditing and verifying statements, invoices, or bills submitted by Contractor pursuant to this Contract and shall provide such assistance as may be reasonably required in the course of such inspection. Contractor shall also allow City access to the record keeping and accounting personnel of Contractor.
City further reserves the right to examine and re-examine said books, records, accounts, and data during the five (5 year period following the termination of this Contract; and Contractor shall in no event dispose of, destroy, alter, or mutilate said books, records, accounts, and data in any manner whatever for five (5 years after the termination of this Contract. 152
General Conditions/EJ/TE 01-19-11 4 of 13
Pursuant to California Government Code § 10527, the parties to this Contract shall be subject to the examination and audit of representatives of the Auditor General of the State of California for a period of three (3) years after final payment under this Contract. The examination and audit shall be confined to those matters connected with the performance of this Contract including, but not limited to, the cost of administering this Contract.
8. Changes and Extra Work . All changes and/or extra work under this Contract shall be performed and paid for in accordance with the following:
Only the City Council or the City Manager may authorize extra and/or changed work. Contractor expressly recognizes that other City personnel are without authorization to either order extra and/or changed work or waive contract requirements. Failure of Contractor to secure the authorization for such extra and/or changed work shall constitute a waiver of any and all right to adjustment in contract price due to such unauthorized work and Contractor thereafter shall be entitled to no compensation whatsoever for performance of such extra and/or changed work.
If Contractor is of the opinion that any work which Contractor has been directed to perform is beyond the scope of this Contract and constitutes extra work, Contractor shall promptly notify City of the fact. The City shall make a determination as to whether or not such work is, in fact, beyond the scope of this Contract and constitutes extra work. In the event that City determines that such work does constitute extra work, City shall provide extra compensation to Contractor on a fair and equitable basis. A change order or Contract Amendment providing for such compensation for extra work shall be negotiated between City and Contractor and executed by Contractor and the appropriate City official.
In the event City determines that such work does not constitute extra work, Contractor shall not be paid extra compensation above that provided herein and if such determination is made by City staff, said determination may be appealed to the City Council; provided, however, a written appeal must be submitted to the City Manager within five (5) days after the staff's determination is sent to Contractor. Said written appeal shall include a description of each and every ground upon which Contractor challenges the staff's determination.
9. Additional Assistance
. If this Contract requires Contractor to prepare
plans and specifications, Contractor shall provide assistance as necessary to resolve any questions regarding such plans and specifications that may arise during the period of advertising for bids, and Contractor shall issue 153
General Conditions/EJ/TE 01-19-11 5 of 13
any necessary addenda to the plans and specifications as requested. In the event Contractor is of the opinion that City's requests for addenda and assistance is outside the scope of normal services, the parties shall proceed in accordance with the changes and extra work provisions of Section 8 of these General Conditions.
10. Professional Ability. Contractor acknowledges, represents and warrants that Contractor and its employees are skilled and able to competently provide the services hereunder, and possess all professional licenses, certifications, and approvals necessary to engage in their occupations.
City has relied upon the professional ability and training of Contractor as a material inducement to enter into this Contract. Contractor shall perform in accordance with generally accepted professional practices and standards of Contractor's profession. In the event that City, in its sole discretion, desires the removal of any person employed or retained by Contractor to perform services hereunder, such person shall be removed immediately upon receiving notice from City.
11. Business License
. Contractor shall obtain a Richmond Business License
before performing any services required under this Contract. The failure to so obtain such license shall be a material breach of this Contract and grounds for immediate termination by City; provided, however, that City may waive the business license requirement in writing under unusual or extraordinary circumstances without necessitating any modification of this Contract to reflect such waiver.
12. Termination Without Default. Notwithstanding any provision herein to the contrary, City may, in its sole and absolute discretion and without cause, terminate this Contract at any time prior to completion by Contractor of the project or services hereunder, immediately upon written notice to Contractor. Contractor may terminate this Contract at any time in its sole and absolute discretion and without cause upon 30 days' written notice to City. In the event of termination by either party, Contractor shall be compensated for: (1) all authorized work satisfactorily performed prior to the effective date of termination; (2) necessary materials or services of others ordered by Contractor for this Contract, prior to receipt of notice of termination, irrespective of whether such materials or services of others have actually been delivered, provided that Contractor is not able to cancel such orders. Compensation for Contractor in such event shall be determined by City in accordance with the percentage of the project or services completed by Contractor; and all of Contractor's finished or unfinished work product through the time of the City's last payment shall be transferred and assigned to City. Additionally, in the event of such termination, the City may proceed with the work in any reasonable manner it chooses.
154
General Conditions/EJ/TE 01-19-11 6 of 13
13. Termination in the Event of Default. Should Contractor fail to perform any of its obligations hereunder, within the time and in the manner provided or otherwise violate any of the terms of this Contract, City may immediately terminate this Contract by giving written notice of such termination, stating the reasons for such termination. Contractor shall be compensated as provided in Section 12 of these General Conditions; provided, however, there shall be deducted from such amount the amount of damage, including attorney's fees, expert witness fees and costs, if any, sustained by City by virtue of Contractor's breach of this Contract. Additionally, in the event of such termination, the City may proceed with the work in any reasonable manner it chooses.
14. Conflict of Interest. Contractor acknowledges, represents and warrants that Contractor shall avoid all conflicts of interest (as defined under any federal, state or local statute, rule or regulation, or at common law) with respect to this Contract. Contractor further acknowledges, represents and warrants that no City official or employee has any economic interest, as defined in Title 2, California Code of Regulations §§ 18703.1 through 18703.5, with Contractor that would invalidate this Contract. Contractor acknowledges that in the event that Contractor shall be found by any judicial or administrative body to have any conflict of interest (as defined above) with respect to this Contract, all consideration received under this Contract shall be forfeited and returned to City forthwith. This provision shall survive the termination of this Contract for one (1) year.
15. Indemnification.
(a) If this Contract is a contract for design professional services subject to California Civil Code Section 2782.8(a) and Contractor is a design professional, as defined in California Civil Code Section 2782.8(b)(2), Contractor shall hold harmless, defend and indemnify the City, its officers, agents, employees, and volunteers from and against any and all claims, damages, losses, and expenses including attorneys’ fees arising out of, or pertaining to, or relating to the negligence, recklessness, or willful misconduct of the Contractor, except where caused by the active negligence, sole negligence, or willful misconduct of the City. To the fullest extent permitted by law, Contractor shall immediately defend and indemnify the City and its officers, agents, employees, and volunteers from and against any and all liabilities, regardless of nature or type, that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Contractor, or its employees, agents, or subcontractors.
Liabilities subject to the duties to defend and indemnify include, without limitation, any and all claims, losses, damages, penalties, fines, and judgments; associated investigation and administrative expenses; defense costs, including but not limited to reasonable attorneys’ fees; court costs; and costs of alternative dispute resolution. Contractor’s obligation to 155
General Conditions/EJ/TE 01-19-11 7 of 13
indemnify applies unless it is finally adjudicated that the liability was caused by the sole active negligence or sole willful misconduct of an indemnified party.
(b) If this Contract is not a contract for design professional services subject to California Civil Code Section 2782.8(a) or Contractor is not a design professional as defined in California Civil Code Section 2782.8(b)(2), Contractor shall indemnify, defend, and hold harmless the City, its officers, agents, employees and volunteers from any and all claims, suits, or actions of every name, kind and description, brought forth on account of injuries to or death of any person or damage to property arising from or connected with the willful misconduct, negligent acts, errors or omissions, ultra-hazardous activities, activities giving rise to strict liability, or defects in design by Contractor or any person directly or indirectly employed by, or acting as, the agent for Contractor in the performance of this Contract, including the concurrent or successive passive negligence of the City, its officers, agents, employees or volunteers.
(c) It is understood that the duty of Contractor to indemnify and hold harmless includes the duty to defend as set forth in Section 2778 of the California Civil Code. Contractor shall be obligated to defend, in all legal, equitable, administrative, or special proceedings, with counsel approved by the City, the City and its officers, agents, employees, and volunteers, immediately upon tender to Contractor of the claim in any form or at any stage of an action or proceeding, whether or not liability is established. An allegation or determination that persons other than Contractor are responsible for the claim does not relieve Contractor from its separate and distinct obligation to defend under this Section 15. The obligation to defend extends through final judgment, including exhaustion of any appeals. The defense obligation includes an obligation to provide independent counsel if Contractor asserts that liability is caused in whole, or in part, by the negligence or willful misconduct of an indemnified party. (d) The review, acceptance or approval of the Contractor’s work or work product by any indemnified party shall not affect, relieve or reduce the Contractor’s indemnification or defense obligations. This Section 15 survives completion of the services or the termination of this Contract.
The provisions of this Section 15 are not limited by, and do not affect, the provisions of this Contract relating to insurance.
(e) Acceptance of insurance certificates and endorsements required under this Contract does not relieve Contractor from liability under this Section
15. This Section 15 shall apply whether or not such insurance policies are determined to be applicable to any such damages or claims for damages.
16. Safety
. Contractor acknowledges that the City is committed to the highest standards of workplace safety. Contractor shall perform all work hereunder in full compliance with applicable local, state and federal safety requirements including but not limited to Occupational Safety and Health Administration requirements, and shall assume sole and complete 156
General Conditions/EJ/TE 01-19-11 8 of 13
responsibility for the safety of Contractor's employees and any subContractor's employees. If a death, serious personal injury or substantial property damage occurs in connection with the performance of this Contract, Contractor shall immediately notify the City by telephone.
17. Insurance. Insurance requirements are set forth in Exhibit F to this Contract. Contractor shall abide by the insurance requirements set forth in said Exhibit F.
18. Non-Liability of Officials and Employees of the City. No official or employee of the City shall be personally liable for any default or liability under this Contract.
19. Compliance with Laws. Contractor shall comply with all federal, state and local laws, statutes, ordinances, rules and regulations, and the orders and decrees of any courts or administrative bodies or tribunals, with respect to this Contract, including without limitation environmental laws, employment discrimination laws and prevailing wage laws. Compliance under this provision includes compliance with all provisions of the Richmond Municipal Code ("Municipal Code"), including Chapters 2.50, 2.52, 2.56, and 2.60, if applicable.
Contractor acknowledges that under § 2.60.070 of the Municipal Code ("Living Wage Ordinance"), Contractor shall promptly provide to City documents and information verifying its compliance with the Living Wage Ordinance. Also as prescribed in § 2.60.070, Contractor shall notify each of its affected employees with regards to the wages that are required to be paid pursuant to the Living Wage Ordinance.
Contractor shall comply with § 2.28.030 of the Municipal Code, obligating every Contractor or subcontractor under a contract or subcontract with the City for public work or for goods or for services to refrain from discriminatory employment or subcontracting practices on the basis of race, color, sex, sexual orientation, religious creed, national origin or ancestry of any employee, any applicant for employment or any potential subcontractor.
Contractor acknowledges that the City’s Drug Free Workplace Policy, Violence in the Workplace Policy and the Policy Against Workplace Harassment, are available on the City’s website at
http://www.ci.richmond.ca.us/workplacepolicies
. Contractor agrees to
abide by the terms and conditions of said policies.
20. Limitations upon Subcontracting and Assignment. This Contract binds the heirs, successors, assigns and representatives of Contractor. The Contractor shall not enter into subcontracts for any work contemplated 157
General Conditions/EJ/TE 01-19-11 9 of 13
under this Contract and shall not assign this Contract, nor any portion hereof or monies due or to become due, without the prior written consent of the City Council or its designee.
Contractor acknowledges that the services which Contractor shall provide under this Contract are unique, personal services which, except as otherwise provided herein, Contractor shall not assign or sublet to any other party without the prior written approval of City, which approval may be withheld in City's sole and absolute discretion. In the event that City, in writing, approves any assignment or subletting of this Contract or the retention of subcontractors by Contractor, Contractor shall provide to City upon request copies of each and every subcontract contract prior to the execution thereof by Contractor and subcontractor. Any assignment by Contractor of any or all of its rights under this Contract without first obtaining City's prior written consent shall be a default under this Contract.
The sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Contractor (if applicable), or of the interest of any general partner or joint venturer or syndicate member if Contractor is a partnership or joint-venture or syndicate, which shall result in a change of control of Contractor, shall be deemed an assignment. For this purpose, control shall mean fifty percent or more of the voting power or twenty-five percent or more of the assets of the corporation, partnership or joint-venture.
21. Integration
. This Contract constitutes the entire agreement between the parties concerning the subject matter hereof and supersedes any previous oral or written agreement; provided, however, that correspondence or documents exchanged between Contractor and City may be used to assist in the interpretation of the Exhibits to this Contract.
22. Modifications and Amendments. This Contract may be modified or amended only by a change order or Contract Amendment executed by both parties and approved as to form by the City Attorney.
23. Conflicting Provisions. In the event of a conflict between these General Conditions and those of any Exhibit or attachment hereto, these General Conditions shall prevail; provided, however, that any Special Conditions as set forth in Exhibit E shall prevail over these General Conditions. In the event of a conflict between the terms and conditions of any two or more Exhibits or attachments hereto, those prepared by City shall prevail over those prepared by the Contractor, and the terms and conditions preferred by the City shall prevail over those preferred by the Contractor.
24. Non-exclusivity. Notwithstanding any provision herein to the contrary, the services provided by Contractor hereunder shall be non-exclusive, and 158
General Conditions/EJ/TE 01-19-11 10 of 13
City reserves the right to employ other Contractors in connection with the project.
25. Exhibits. All Exhibits hereto are made a part hereof and incorporated herein by reference; provided, however, that any language in Exhibit A which does not pertain to the project description, proposal, scope of services, or method of compensation (as applicable) , or any corresponding responsibilities of City, shall be deemed extraneous to, and not a part of, this Contract.
26. Force Majeure. Neither party hereto shall be considered in default in the performance of its obligations hereunder to the extent that the performance of such an obligation is prevented or delayed by reason of acts of God, strikes, boycotts, lock-outs, inability to procure materials not related to the price thereof, failure of power, restrictive governmental laws and regulations enacted after the date of this Contract, riots, civil unrest, acts of terrorism, insurrection, war, declaration of a state or national emergency or other reasons of a like nature not within the reasonable control of such party.
27. Time of the Essence. Time is of the essence of this Contract. Contractor and City agree that any time period set forth in Exhibit A represents their best estimates with respect to completion dates and both Contractor and City acknowledge that departures from the schedule may occur.
Therefore, both Contractor and City will use reasonable efforts to notify one another of changes to the schedule. Contractor shall not be responsible for performance delays caused by others, or delays beyond Contractor's control, and such delays shall extend the times for performance of Contractor's work.
28. Confidentiality. Contractor agrees to comply with, and to require its employees, agents and partners to comply with, all applicable State or Federal statutes or regulations respecting confidentially, including but not limited to, the identity of persons served under this Contract, their records, or services provided them, and assures that:
All applications and records concerning any individual made or kept by Contractor or any public officer or agency in connection with the administration of or relating to services provided under this Contract will be confidential, and will not be open to examination for any purposes not directly connected with the administration of such service.
No person will publish or disclose or permit or cause to be published or disclosed, any list of persons receiving services, except as may be required in the administration of such service.
159
General Conditions/EJ/TE 01-19-11 11 of 13
29. Third Parties. Nothing herein shall be interpreted as creating any rights or benefits in any third parties. For purposes hereof, transferees or assignees as permitted under this Contract shall not be considered "third parties."
30. Governing Law. This Contract shall be construed in accordance with the law of the State of California without regard to principles of conflicts of law.
This Contract is made in Contra Costa County, California, and any action relating to this Contract shall be instituted and prosecuted in the courts of Contra Costa County, California.
31. Nonrenewal. Contractor understands and agrees that there is no representation, implication, or understanding that the services provided by Contractor under this Contract will be purchased or renewed by the City under a new contract following expiration or termination of this Contract, and waives all rights or claims to notice or hearing respecting any failure by City to continue the purchase of all or any failure to continue purchase of all or any such services from Contractor.
32. Claims. Any claim by Contractor against City hereunder shall be subject to Government Code §§ 800 et seq. The claims presentation provisions of said Act are hereby modified such that the presentation of all claims hereunder to the City shall be waived if not made within six months after accrual of the cause of action.
33. Interpretation. This Contract shall be interpreted as if drafted by both parties.
34. Warranty. In the event that any product shall be provided to the City as part of this Contract, Contractor warrants as follows: Contractor possesses good title to the product and the right to transfer the product to City; the product shall be delivered to the City free from any security interest or other lien; the product meets any specifications contained herein; the product shall be free from material defects in materials and workmanship under normal use for a period of one (1) year from the date of delivery; and the product shall be fit for its intended purpose(s). Notwithstanding the foregoing, consumable and maintenance items (such as light bulbs and batteries) shall be warranted for a period of one hundred and eighty (180) days from the date of delivery. All repairs during the warranty period shall be promptly performed by Contractor, at Contractor's expense, including shipping.
35. Severability. In the event that any of the provisions or portions or applications thereof of this Contract are held to be unenforceable or invalid by any court of competent jurisdiction, City and Contractor shall negotiate an equitable adjustment in the provisions of the Contract with a view 160
General Conditions/EJ/TE 01-19-11 12 of 13
toward effecting the purpose of this Contract, and the validity and enforceability of the remaining provisions or portions or applications thereof, shall not be affected thereby.
36. Authority. City warrants and represents that the signatory hereto (the Mayor of the City of Richmond or the City Manager) is duly authorized to enter into and execute this Contract on behalf of City. The party signing on behalf of Contractor warrants and represents that he or she is duly authorized to enter into and execute this Contract on behalf of Contractor, and shall be personally liable to City if he or she is not duly authorized to enter into and execute this Contract on behalf of Contractor.
37. Waiver. The waiver by City of any breach of any term or provision of this Contract shall not be construed as a waiver of any subsequent breach.
Inspections or approvals, or statements by any officer, agent or employee of the City relating to the Contractor’s performance, or payments therefore, or any combination of these acts, shall not relieve the Contractor’s obligation to fulfill this Contract as prescribed; nor shall the City be thereby stopped from bringing any action for damages or enforcement arising from any failure to comply with any of the terms and conditions of this Contract.
38. Possessory Interest. If this Contract results in the Contractor having possession of, claim to or right to the possession of land or improvements, but does not vest ownership of the land or improvements in the same person, or if this Contract results in the placement of taxable improvements on tax exempt land (Revenue and Taxation Code 107), such interest or improvements may represent a possessory interest subject to property tax, and Contractor may be subject to the payment of property taxes levied on such interest.
39. Performance and Final Acceptance.
Contractor represents that it is experienced, qualified, registered, licensed, equipped, organized and financed to perform the services under this Contract.
Contractor shall perform the services under this Contract with that degree of skill and judgment normally exercised by professional firms performing services of a similar nature in the State of California, and shall be responsible for the professional quality, technical accuracy and coordination of the services it performs under this Contract. In addition to the other rights and remedies which City may have, Contractor shall, at its own expense, correct any services which fail to meet the above standard.
161
General Conditions/EJ/TE 01-19-11 13 of 13
City shall provide Contractor an opportunity to cure errors and omission which may be disclosed during the review of submittals, with no increase in the authorized Contract Payment Limit. Should Contractor fail to make necessary corrections in a timely manner, such corrections shall be made by the City and the cost thereof shall be charged to Contractor.
If warranted, City shall determine, and Contractor may request such determination, that Contractor has satisfactorily completed performance of this Contract. Upon such determination, City shall issue to Contractor a written Notice of Final Acceptance, after which Contractor shall not incur further costs under this Contract. Contractor shall respond to such Notice of Final Acceptance by executing and submitting to City a Release and Certificate of Final Payment.
40. Survival
. The rights and obligations of the parties which by their nature survive termination or completion of the services covered by this Contract shall remain in full force and effect after termination or completion. 162
For the Contract between the City of
Richmond and
EXHIBIT E
SPECIAL CONDITIONS
The General Conditions are hereby amended to include the following modifications and/or provisions (if applicable):
163
For the Contract between the City of
Richmond and
EXHIBIT F
INSURANCE PROVISIONS
During the entire term of this Contract and any extension or modification thereof, the CONTRACTOR shall keep in effect insurance policies meeting the insurance requirements specified in the insurance provisions which are attached hereto and incorporated herein by this reference.
164
___ Exhibit F
___ Section 8
City of Richmond - Insurance Requirements - Type 2:
Professional Services
Type 2 – Page 1 of 3
Revised: September 2011
In all instances where CONTRACTOR or its representatives will provide professional services (architects, engineers, construction management, counselors, medical professionals, hospitals, clinics, attorneys, consultants, accountants, etc.) to the City of Richmond (City), the City requires the following MINIMUM insurance requirements and limits.
CONTRACTOR shall procure and maintain for the duration of the contract, agreement, or other order for work, services or supplies, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the CONTRACTOR, its agents, representatives, employees or subcontractors. Maintenance of proper insurance coverage is a material element of the contract. Failure to maintain or renew coverage or to provide evidence of renewal may be treated by the City as a material breach of contract.
CONTRACTOR agrees that in the event of loss due to any of the perils for which it has agreed to provide Commercial General Liability insurance, CONTRACTOR shall look solely to its insurance for recovery.
CONTRACTOR hereby grants to CITY, on behalf of any insurer providing Commercial General Liability insurance to either CONTRACTOR or CITY with respect to the services of CONSULTANT herein, a waiver of any right to subrogation which any such insurer of said CONTRACTOR may acquire against the CITY by virtue of the payment of any loss under such insurance.
Original, signed certificates and original, separate policy endorsements, naming the City as an additional insured for general liability coverage, as well as a waiver of subrogation for Workers’ Compensation insurance, shall be received and approved by the City before any work may begin. However, failure to do so shall not operate as a waiver of these insurance requirements.
City reserves the right to modify or require additional coverages for specific risk exposures depending on scope of CONTRACTORS work.
Minimum coverage is detailed below. The policy limits of coverage shall be made available to the full limits of the policy. The minimum limits stated herein shall not serve to reduce the policy limits of coverage of CONTRACTOR.
Minimum Scope of Insurance – the following forms shall be provided and coverage shall be at least as broad as the following:
1. Insurance Services Office Commercial General Liability coverage (ISO Occurrence Form CG 0001), and including coverage for bodily and personal injury, property damage, and products and completed operations (if applicable).
2. Insurance Services Office Automobile Liability coverage (ISO Form CA 0001, Code 1, Any Auto).
3. Original and Separate Additional Insured Endorsement for General Liability (ISO Form CG 20 10 11/85 or its equivalent) with primary and non-contributory language.
4. Workers’ Compensation Insurance as required by the State of California including Employer’s Liability coverage.
5. Original and Separate Waiver of Subrogation for Workers’ Compensation insurance.
6. Professional Liability or Errors & Omissions Liability Insurance appropriate to the CONTRACTOR’s profession (if required.)
Required Coverage Minimum Limits
Workers’ Compensation and
Employers’ Liability
Statutory limits as required by the State of California including $1 million Employers’ Liability per accident, per employee for bodily injury or disease.
If CONTRACTOR is self-insured, provide a certificate of Permission to Self- Insure, signed by the California Department of Industrial Relations and Self- Insurance. If contractor is a sole proprietor (has no employees) than contractor must sign “Contractor Release of Liability” found at:
http://www.ci.richmond.ca.us/index.aspx?nid=61.
General Liability
(primary and excess limits
combined)
$2,000,000 per occurrence for bodily injury, personal injury and property damage. If the policy includes a general aggregate, either the general aggregate shall apply separately to this project, service or location or the minimum required aggregate limit shall be twice the per occurrence limit ($4 million aggregate limit).
Policy shall be endorsed to name the City of Richmond as an additional insured per the conditions detailed below.
165
___ Exhibit F
___ Section 8
City of Richmond - Insurance Requirements - Type 2:
Professional Services
Type 2 – Page 2 of 3
Revised: September 2011
Automobile Liability $1,000,000 per occurrence for bodily injury and property damage.
PROJECT COST R EQUIRED LIMIT
$0 - $1 million $1 million p/o
$1 million - $5 million $2 million p/o
Over $5 million $5 million p/o
Professional Liability or Errors &
Omissions Liability –
Required for all professionals
including architects, engineers,
consultants, construction
management, counselors, medical
professionals, hospitals, clinics,
attorneys and accountants, & other
consultants as may be required by
the City.
Required Policy Conditions
Additional Insured Endorsement
Applicable to General Liability coverage.
The City of Richmond, its officers, officials, employees, agents and volunteers are to be named as additional insureds for all liability arising out of the operations by or on behalf of the named insured including bodily injury, deaths and property damage or destruction arising in any respect directly or indirectly in the performance of this contract.
ISO form CG 20 10 (11/85) or its equivalent is required. If the Contractor is supplying their product or providing a service then the endorsement must not
exclude products and completed operations
coverage. If it does, then CG 20 37 (10/01) is also required.
SAMPLE Endorsements can be found at
http://www.ci.richmond.ca.us/index.aspx?nid=61
.
Primary and Noncontributory The contractor’s insurance coverage must be primary coverage as it pertains to the City, its officers, officials, employees, agents and volunteers. Any insurance or self insurance maintained by the City is wholly separate from the insurance of the contractor and in no way relieves the contractor from its responsibility to provide insurance.
Waiver of Subrogation
Endorsement Form
Contractor’s insurer will provide a Waiver of Subrogation in favor of the City for Workers’ Compensation Insurance during the life of this contract.
SAMPLE Endorsements can be found at
http://www.ci.richmond.ca.us/index.aspx?nid=61.
Deductibles and Self-Insured
Retentions
Any deductible or self-insured retention must be declared to and approved by the City. At the option of the City either the insurer shall reduce or eliminate such deductibles or self-insured retention as respects the City or the CONTRACTOR shall procure a financial guarantee in an amount equal to the deductible or self-insured retention guaranteeing payment of losses and related investigations, claims administration and defense expenses.
Contractor is responsible for satisfaction of the deductible and/or self-insured retention for each loss.
A. M. Best Rating A:VII or Better. If the A.M. Best Rating falls below the required rating, CONTRACTOR must replace coverage immediately and provide notice to City.
Umbrella/Excess Liability Policies
If an Umbrella or Excess Liability Policy is used to meet the liability limits, coverage shall be as broad as specified for underlying coverage’s and cover those insured in the underlying policies.
166
___ Exhibit F
___ Section 8
City of Richmond - Insurance Requirements - Type 2:
Professional Services
Type 2 – Page 3 of 3
Revised: September 2011
Claims-Made Policies
If any insurance policy is written on a claims-made form: 1) the retroactive date must be shown, and must be before the date of the contract or the beginning of contract work. 2) Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work. 3) If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a retroactive date prior to the contract effective date, the Contractor must purchase an extended period coverage for a minimum of five (5) years after completion of contract work.
Subcontractors
CONTRACTOR
shall include all subcontractors as insured under its policies or shall furnish to the City for review and approval, separate certificates and endorsements for each subcontractor. All coverage for subcontractors shall be subject to all of the requirements stated herein.
CONTRACTOR agrees to defend and indemnify the City of Richmond for any damage resulting to it from failure of either CONTRACTOR or any subcontractor to take out or maintain the required insurance policies.
The fact that
insurance is obtained by CONTRACTOR, and/or CONTRACTOR’s subcontractors, will not be deemed to release or diminish the liability of CONTRACTOR, including, without limitation, liability under the indemnity provisions of this contract. Damages recoverable by CITY from CONTRACTOR or any third party will not be limited by the amount of the required insurance coverage.
Verification of Coverage
All original certificates and endorsements shall be received and approved by the City before work may begin .
The City of Richmond reserves the right to require complete, certified copies of all required insurance policies including endorsements affecting the coverage at any time.
Original insurance certificates and required policy endorsements shall be mailed or delivered to the Designated Project Manager for the City of Richmond.
Insurance certificates and endorsements may be faxed to the Designated Project Manger. However, CONTRACTOR must mail the original certificates and endorsements to Designated Project Manager once faxed.
Continuous Coverage
CONTRACTOR shall maintain the required insurance for the life of the contract. Should the CONTRACTOR cease to have insurance as required during this time, all work by the CONTRACTOR pursuant to this agreement shall cease until insurance acceptable to the City is provided. In the event that CONTRACTOR fails to comply with the City’s insurance requirements, the City may take such action as it deems necessary to protect the City’s interests. Such action may include but is not limited to termination of the contract, withholding of payments, or other actions as the City deems appropriate.
If services or the scope of work extend beyond the expiration dates of the required insurance policies initially approved by the City, CONTRACTOR must provide updated certificates and endorsements indicating that the required coverage, terms and conditions are still in place. Renewal certificates and updated endorsements shall be mailed to the Designated Project Manager.
Cancellation
CONTRACTOR shall ensure that coverage shall not be cancelled, reduced or otherwise materially changed except after thirty (30) days’ prior written notice has been given to the City.
Reporting Requirements
Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the City, its officers, officials, employees or volunteers.
Consistent with Public Policy
The insuring provisions, insofar as they may be judged to be against public policy shall be void and unenforceable only to the minimum extent necessary so that the remaining terms and provisions herein may be consistent with public policy and thus enforceable.
167
168
169
170
171
172
173
174
175
176
177
178
179
180
181
182
183
184
185
186
187
188
189
190
191
192
193
194
195
196
197
198
199
200
201
202
203
204
205
206
207
CITY OF RICHMOND
Sanctuary City Compliance Statement
The undersigned, an authorized agent of (hereafter
"Contractor"), has had an opportunity to review the requirements of City of Richmond Ordinance 12-18 (hereafter "Sanctuary City Contracting Ordinance" or “SCCO”). Contractor understands and agrees that the City may choose with whom it will maintain business relations and may refrain from contracting with any person or entity that provides Data Broker or Extreme Vetting services to the U.S. Immigration and Customs Enforcement Division of the United States Department of Homeland Security (“ICE”). Con tractor understands the meaning of the following terms used in the SCCO:
a. "Data Broker” means either of the following:
i. The collection of inform ation, including personal information about consumers, from a wide variety of sources for the purposes of reselling such information to their customers, which include both private-sector business and government agencies;
ii. The a ggregation of data that was collected for another purpose from that for which it is ultimately used.
b. “Extre me Vetting” means data mining, threat modeling, predictive risk analysis, or other similar services."
Contractor understands that it is not eligible to receive or retain a City contract if at the time the Contract is executed, or at any time during the term of the Contract, it provides Data Broker or Extreme Vetting services to ICE.
Contractor further understands and agrees that Contractor's failure to comply with the SCCO shall constitute a material default of the Contract and the City Manager may terminate the Contract and bar Contractor from bidding on future contracts with the City for five (5) years from the effective date of the contract termination.
By executing this Statement, Contractor certifies that it complies with the requirements of the SCCO and that if at any time during the term of the Contract it ceases to comply, Contractor will promptly notify the City Manager in writing.
Any person or entity who knowingly or willingly supplies false information in violation of the SCCO shall be guilty of a misdemeanor and subject to a $1,000 fine.
Based on the foregoing, the undersigned declares under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Execu ted this day of , 20 , at , C alifornia.
Printed Name: Title:
Signed: Date:
Business Entity:
Vendor SCCO Compliance Statement (Augt2020)
DocuSign Envelope ID: F1D32199-F50D-4E3F-BC3D-3140BF8A43BF Executive Director
8/31/2023
23 Arthur Bart-Williams
31st
Nonprofit Corporation
GRID Alternatives, Inc. Bay Area
August208
CITY OF RICHMOND
STANDARD CONTRACT
Department: Project Manager:
Project Manager E-mail:
Project Manager Phone No:
PR No: Vendor No: P.O./Contract No:
Description of Services:
The parties to this STANDARD CONTRACT do mutually agree and promise as follows:
1. Parties.
The parties to this Contract are the City of Richmond (herein referred to as the “City”) and the following named Contractor:
Company Name:
Street Address:
City, State, Zip Code:
Contact Person:
Telephone: Email:
Business License No: / Ex
piration Date:
A California [ ] corporation, [ ] limited liability corporation [ ] general partnership, [ ] limited partnership, [ ] individual, [ ] non-profit corporation, [ ] individual dba as [specify:] , [ ] other [specify:]
2. Term. The effective date of this Contract is and it terminates unless terminated as provided herein.
3. Payment Limit.
City’s total payments to Contractor under this Contract shall not exceed $ . City shall not pay for services that exceed the Contract Payment Limit unless a contract amendment has been approved by the City Council or City Manager.
4. Contractor’s Obligations.
Contractor shall provide those services and carry out
that work described in the Service Plan (Exhibit A) which is attached hereto and is incorporated herein by reference, subject to all the terms and conditions contained or incorporated herein.
5. City's Obligations.
City shall make to the Contractor those payments described in the Payment Provisions (Exhibit B) which are attached hereto and are incorporated herein by reference, subject to all the terms and conditions contained or incorporated herein.
209
6. Authorized Representatives and Notices. This Contract is subject to the Authorized Representatives and Notices Provisions (Exhibit C) which are attached hereto and are incorporated herein by reference.
7. General Conditions.
This Contract is subject to the General Conditions
(Exhibit D) which are attached hereto and are incorporated herein by reference, subject to all the terms and conditions contained or incorporated herein.
8. Special Conditions
. This Contract is subject to the Special Conditions (Exhibit E) (if any) which are attached hereto and are incorporated herein by reference, subject to all the terms and conditions contained or incorporated herein. (Note:
other than Public Works contracts, the City will agree to Special Conditions only in unusual circumstances.)
9. Insurance Provisions.
This Contract is subject to the Insurance Provisions
(Exhibit F) which are attached hereto and are incorporated herein by reference.
10. Signatures. These signatures attest the parties' Contract hereto:
CITY OF RICHMOND CONTRACTOR:
a municipal corporation
By:
(* The Corporation Chairperson of the Board,
President or Vice President should sign below)
Title: By:
I hereby certify that this Contract Title:
has been approved by City Council.
Date Signed:
B y :
City Clerk
(* The Corporation Chief Financial Officer,
Secretary or Assistant Secretary should sign below)
Approved as to form:
B y :
B y : T i t l e :
City Attorney
Date Signed:
(NOTE: Pursuant to California Corporations
Code Section 313, if Contractor is a corporation
or nonprofit organization, this Contract (1) must
be signed by (a) the Chairperson of the Board,
President or Vice-President and
(b) the
Secretary any Assistant Secretary, the Chief
Financial Officer or any Assistant Treasurer.
LIST OF ATTACHMENTS:
Service Plan Exhibit A
Payment Provisions Exhibit B
Authorized Representatives and Notices Exhibit C
General Conditions Exhibit D
Special Conditions Exhibit E
Insurance Provisions Exhibit F
Standard Contract/EJ/TE 9-26-07
210
For the Contract between the City of
Richmond and
EXHIBIT A
SERVICE PLAN
Contractor shall, to the satisfaction of the , perform the following services and be compensated as outlined below:
211
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
Project # and Name: 6 - Bosque del Barrio Strategy: Urban Greening and Green Infrastructure Lead Entity: Groundwork Richmond
Project Description: The Bosque del Barrio tree planting project includes intensive reforesting of the Project Area to increase CO2 capture, improve local air quality, and provide long-term shade for residents. The project directly implements the City of Richmond's Urban Greening Master Plan which identified 1,000 plantings sites and aims to increase urban tree canopy in Richmond. Bosque del Barrio will push this plan forward by planting 1,000 trees in the Iron Triangle, Coronado, and Santa Fe communities and assessing/removing dead or dying trees in the area. Bosque del Barrio aims to reforest the Project Area by 2027.
Operations & Maintenance Plan: The City of Richmond ("City") acknowledges and accepts responsibility for care of trees planted in the public right-of-way and on City property in the course of the implementation of the Bosque del Barrio project funded by the Transformative Climate Communities Round 4 grant award. The expected 1,000 trees will be planted by and initial establishment care will be provided by Groundwork Richmond, and an updated inventory of trees will be provided to the City. After the grant term and initial establishment care periods, the City of Richmond will use the inventory data to integrate the 1,000 trees into existing maintenance routines within the Public Works Department, with care specifically provided by the Parks and Landscaping Division. The trees will be cared for as part of regular operations of the Parks and Landscaping Division. The City may continue to partner with community organizations, including Groundwork Richmond, to organize citizen stewardship of trees and planting replacements when needed; however, the City accepts ultimate responsibility for watering, pruning, pest management, and protecting the trees.
Reimbursement Conditions: N/A
Task Deliverable(s) Timeline Grant Funds Leverage Funds Task 1: Planning
A: Create phasing tree
planting plan for 200 trees per
year
A: Final Tree Planting Phasing
Plan
Subtask A - B: Grant
Execution -
December 2023
Subtask C - F:
Project Completion
Period
$66,043.80 $66,256.20
B: Create an outreach plan to
support tree planting phasing
plan
B: Final Outreach Plan
C: Field verify opportunity sites
from Urban Forestry Master
Plan
C: Final map and data file for
tree planting opportunity sites
D: Evaluate tree stock
availability, obtain bids, and
create a schedule of
deliveries.
D: Narrative of tree stock
assessment and orders
212
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
E: Prepare outreach materials
and coordinate outreach
events, including printing,
mailing, translation, and
refreshments
E: 1) Outreach materials,
outreach summary
2) Event summaries
(date/time/location, number of
attendees, summary of
outcomes)
3) Event Materials (curriculum,
handouts as relevant)
4) Event publicity materials
(announcements, photos from
key events)
F: Research potential ongoing
funding sources for ongoing
maintenance work and
partners who may help
continue the program after
TCC grant term.
F: 1) Summary of possible
funding sources
2) Report of secured funding
and remaining needs
Task 2: Residential Implementation
A: Canvassing in accordance
with Tree Planting Phasing
Plan
Residential Pipeline Report
including (but not limited to):
1) canvassing map
2) resident interaction log
3) number of email signups
4) number of program signups
5) completed Groundwork site
assessments
6) PG&E utility assessment
7) selected tree log
8) date of planting, location,
species
9) specific planting site
mapping
Grant Execution -
2025 $315,062.75 $471,807.85
B: Coordinate with 100
residents per year on site
assessment, tree selection,
final site identification,
213
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
scheduling planting, and tree
care.
C: Site preparation: Confirm
utility clearance, remove
concrete (as needed), amend
soil, mulch, water.
D: Follow up with resident on
tree care and watering two
weeks after planting
Task 3: Non-residential Implementation
A: Site selection: Coordinate
with City to determine tree
planting sites and tree
selection
A - D: Non-Residential
Pipeline Report including (but
not limited to):
1) summary of monthly
meetings with City
2) large-scale planting site
priorities
3) volunteer interaction log
4) completed Groundwork site
assessments
5) PG&E utility assessment
6) selected tree log
7) date of planting, location,
species
8) specific planting site
mapping
Grant Execution -
2025
$353,019.05 $1,247,146.55 B: Pre-planting coordination and site preparation: Submit
utility clearance, City or Pogo
Park coordination, remove
concrete (as needed),
mowing, digging, tree
transportation, etc.
C: Inform Community about
tree planting program and
stormwater planters through
outreach and recruitment to
assist in tree planting events
and other community events
214
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
D: Day-of Site Preparation:
Confirm utility clearance, dig
holes (as needed), amend soil,
staking, mulch, water
E: Host 25 volunteer tree
planting events
D: 1) Event summaries
(date/time/location, number of
attendees, summary of
outcomes)
2) Event Materials (curriculum,
handouts as relevant)
3) Event publicity materials
(announcements, photos from
key events) 4) Reports that
document planting locations
and species
F: Coordinate and oversee
design and construction of
stormwater planters
F: Final planting and irrigation
plans
G: Install stormwater plants
including; 1) shrubs and
ground cover plantings for
stormwater management in
street medians 2) 5
interpretive signs 3)
maintenance
G: Final stormwater planter
report highlighting project
metrics including (but not
limited to):
1) Summary of work
completed
2) Location of stormwater
planters installed
3) Before/after photos
Task 4: Tree Maintenance
A: Residential and Non-
Residential Tree Maintenance:
monitor and maintain all trees
for three years following
planting, including mulching,
staking, pruning, replacement
as needed
A: Maintenance report
including residential and non-
residential maintenance
activity logs and project
metrics
Project Completion
Period $202,733.10 $370,330.70
215
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
B: Develop residential email
campaign sequence with tree
care education and watering
reminders
B: Summary of email
campaign; annual engagement
report
C: Hold 15 volunteer tree care
events for non-residential
trees
C: 1) Event summaries
(date/time/location, number of
attendees, summary of
outcomes)
2) Event Materials (curriculum,
handouts as relevant)
3) Event publicity materials
(announcements, photos from
key events)
Task 5: General Administration
A: Invoicing and reporting;
including metrics and reporting
template development
A: 1) Bimonthly progress
reports and invoicing
2) Final report highlighting
project metrics
3) Regular GHG calculations
as needed
4) Reporting templates
Project Completion
Period $52,243.80 $64,756.20
B: Indicator Reports and
Evaluation Data for Evaluation
Technical Assistance Provider
B: 1) Annual Indicator Reports
2) Participation in Evaluation
Surveys, Interviews, Focus
Groups, Information Requests
Equipment (entire project) N/A Project Completion
Period $0 $0
Contingency 10% Contingency Project Completion
Period $98,910.25 $0
Lead Entity Indirect Costs
Indirect costs consistent with
the TCC guidelines and grant
agreement, at a rate approved
under this grant agreement.
Project Completion
Period $0 $0
Project Total $1,088,012.75 $2,220,297.50
216
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
SPECIAL TERMS AND CONDITIONS
Part 2 – Project-Specific Terms and Conditions
1. Urban Greening and Green Infrastructure
Urban Greening
For projects that include urban greening components such as planting of trees and vegetation, enhancement, or expansion of community parks:
i. The Regional Urban Forester must approve the species list and map of tree planting area prior to beginning work.
ii. T he project must adhere to the CAL FIRE Standards and Specifications for Purchasing, Planting, and Maintaining Trees, and Required Management Activities Practices, see Attachment D-7, unl
ess otherwise approved by SGC. This includes the
establishment and adherence to a detailed long-term operations and maintenance plan. Trees requiring replacement per CAL FIRE must be made at the Lead Entity’s cost.
iii. If the pr oject includes habitat restoration or landscaping, the plant palette must exclude the use of invasive plants listed in the California Invasive Plants Inventory, available at http://cal-ipc.org/plants/inventory, and include native, low- water, drought-resistant, and climate appropriate vegetation.
iv. If the pr oject includes landscaping, project shall be consistent, as applicable, with the Department of Water Resources’ Model Water Efficient Landscape Ordinance (California Code of Regulations, Title 23. Waters, Division 2. Department of Water Resources, Chapter 2.7), available at https://water.ca.gov/Programs/Water-Use-An d- Efficiency/Urban-Water-Use-Efficiency/Model-Water-Efficient-Landscape-Ordinance v. Lead Entity must conduct due diligence to adhere to best management practices for:
a. Researching any proposed site’s history and potential range of contaminants (e.g., lead or other heavy metals) and/or other hazards present; b. Determining any potential risk to human health based on potential range of contaminants and/or other hazards present;
c. Determining appropriate methods for site testing, clean-up, and exposure- management, as applicable; and
d. Providing documentation of public education regarding potential range of contaminants and/or other hazards present on site, and methods employed to minimize public exposure.
vi. The planting location of trees and vegetation must be strategically selected to avoid removal due to any planned future construction.
vii. Projects may not use neonicotinoid-treated seeds or plantings, neonicotinoid pesticides, or synthetic fertilizer. Organic fertilizers (e.g., compost, manure) may be used.
viii. Projects may not include root barriers, decorative tree grates, or decorative tree guards.
ix. Project may not include inefficient irrigation valves, pumps, sprinkler control timers, or over costly and elaborate irrigation systems.
217
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
x. Projects that require tree removal or replacement must result in a net positive number of trees. Only the net number of trees may be quantified for GHG emission reduction quantification.
xi. If trees funded by this grant are removed for any reason, they must be replaced at the Lead Entity’s cost in such a way that is consistent with this agreement. xii. Lead Entity must provide care for all trees and plants (including replacement) during an establishment period of a minimum of three (3) years after planting.
Green Infrastructure
For projects that include green infrastructure such as construction of permeable surfaces, or stormwater features such as bioswales or rain gardens:
i. Project elements must demonstrate a stormwater capture and/or water conservation function. Projects may not require additional use of water and will use water efficient systems, if applicable.
ii. The minimum useful life of any constructed green infrastructure shall be 20 years. iii. Long-term operation and maintenance plans will adhere to the template provided by the California Water Boards, as applicable. The template is available at https://www.waterboards.ca.gov/water_issues/programs/stormwater/storms/template_ agreement_files.html#om_plan_templates.
218
For the Contract between the City of
Richmond and
EXHIBIT B
PAYMENT PROVISIONS
{PLEASE NOTE THAT THE CITY OF RICHMOND SHALL NOT PAY FOR SERVICES
THAT EXCEED THE CONTRACT PA YMENT LIMIT UNLESS A CONTRACT
AMENDMENT HAS BEEN APPROVED BY THE CITY COUNCIL OR THE CITY MANAGER}
1. Provided Contractor is not in default under this Contract, Contractor shall be compensated as provided below.
2. Any and all payments made pursuant to this Contract shall be subject to the Contract Payment Limit. The Payment Limit includes expenses (phones, photo copying, meals and travel etc). Invoices, shall be adequately detailed, based on accurate records, and be in a form reasonably satisfactory to the City. Contractor may be required to provide back-up material upon request.
3. Contractor shall submit timely invoices to the following address:
Attention: City of Richmond, Finance Department - Accounts Payable Project Manager: Department:
PO Box 4046
Richmond, CA 94804-0046
4. All invoices that are submitted by Contra ctor shall be subject to the approval of the City’s Project Manager, before payments shall be authorized.
5. The City will pay invoice(s) within 45 days a fter completion of services to the City’s satisfaction. The City shall not pay late fees or interest.
6. A Richmond business license shall be obtained before any payment under this Contract shall be authorized and the business license must be kept current during the term of this Contract for payments to continue to be authorized.
7. All insurance coverage required by this Contract shall be provided by the Contractor before this Contract shall be executed by the City. The insurance coverage must be kept current during the term of this Contract for payments to continue to be authorized. 219
For the Contract between the City of
Richmond and
EXHIBIT C
AUTHORIZED REPRESENTATIVES AND NOTICES
1. Notices
. All notices, demands, statements, or communications provided for by this Contract shall be in writing and may be delivered by deposit in the United States mail, postage prepaid. Notices to the City shall be addressed to the Department Head and (as delineated below in section 1.1) to the project manager responsible for the administration of or the supervision of the scope of work under this Contract. Notices to the Contractor shall be addressed to the party designated by Contractor (as delineated below in section 1.2). Notice shall be deemed delivered (a) upon personal delivery; (b) as of the fifth business day after mailing by United States certified mail, postage prepaid, addressed to the proper party; or (c) as of 12:00 p.m. on the second business day immediately after the day it is deposited with and accepted by Federal Express, or a similar overnight courier service, addressed to the proper party and marked for next business day morning delivery. For the purposes of this Contract, a "business day" means any day Monday through Friday that is not a holiday recognized by the federal government or the State of California.
1. 1 CITY hereby designates as its Authorized Representative the Project Manager whose name and address are as follows:
City of Richmond
Richmond, CA 94804-0046
1. 2 CONTRACTOR hereby designates as its Authorized Representative the Project Manager whose name and address are as follows:
220
General Conditions/EJ/TE 01-19-11 1 of 13
EXHIBIT D
GENERAL CONDITIONS
1. Independent Contractor . Contractor acknowledges, represents and warrants that Contractor is not a regular or temporary employee, joint venturer or partner of the City, but rather an independent Contractor. This Contract shall not be construed to create an agency, servant, employee, partnership, or joint venture relationship. As an independent Contractor, Contractor shall have no authority to bind City to any obligation or to act as City's agent except as expressly provided herein. Due to the independent Contractor relationship created by this Contract, City shall not withhold state or federal income taxes, the reporting of which shall be Contractor's sole responsibility.
2. Brokers . Contractor acknowledges, represents and warrants that Contractor has not hired, retained or agreed to pay any entity or person any fee, commission, percentage, gift, or any other consideration, contingent upon or resulting from the award or making of this Contract.
3. City Property . The rights to applicable plans, drawings, reports, calculations, data, specifications, videos, graphics or other materials prepared for or obtained pursuant to this Contract, which, upon request, are to be delivered to City within a reasonable time, shall be deemed assigned to City. If applicable, Contractor shall prepare check prints upon request. Notwithstanding the foregoing, Contractor shall not be obligated to provide to City proprietary software or data which Contractor has developed or had developed for Contractor's own use; provided, however, that Contractor shall, pursuant to Section 15 below, indemnify, defend and hold harmless City from and against any discovery or Public Records Act request seeking the disclosure of such proprietary software or data.
4. Patents, Trademarks, Copyrights and Rights in Data
. Contractor shall not
publish or transfer any materials, discoveries, developments, concepts, designs, ideas, know how, improvements, inventions and/or original works of authorship resulting from activities supported by this Contract without the express prior written consent of the City Manager. If anything resulting from activities supported by this Contract is patentable, trademarkable, copyrightable or otherwise legally protectable, City reserves the exclusive right to seek such intellectual property rights. Notwithstanding the foregoing, Contractor may, after receiving City's prior written consent, seek patent, trademark, copyright or other intellectual property rights on anything resulting from activities supported by this Contract. However, City reserves, and Contractor irrevocably grants, a nonexclusive, fully paid-up, royalty-free, assumable, perpetual, worldwide license, with the right to transfer, sublicense, practice and exploit said license and the right to make, have made, copy, modify, make derivative works of, use, sell, 221
General Conditions/EJ/TE 01-19-11 2 of 13
import, and otherwise distribute under all applicable intellectual properties without restriction of any kind said license.
Contractor further agrees to assist City, at City's expense, in every proper way to secure the City’s rights in any patents, trademarks, copyrights or other intellectual property rights relating thereto, including the disclosure to City of all pertinent information and data with respect thereto. Contractor shall also assist City in the execution of all applications, specifications, oaths, assignments, recordations, and all other instruments which City shall deem necessary in order to apply for, obtain, maintain and transfer such rights, or if not transferable, to waive such rights. Contractor shall further assist City in the execution of all applications, specifications, oaths, assignments, recordations and all other instruments which City shall deem necessary in order to assign and convey to City, and any assigns and nominees the sole and exclusive right, title and interest in and to any patents, trademarks, copyrights or other intellectual property rights relating thereto. Contractor further agrees that its obligation to execute or cause to be executed, when it is in Contractor's power to do so, any such instruments or papers shall continue during and at all times after the end of Contractor's services and until the expiration of the last such intellectual property right. Contractor hereby irrevocably designates and appoints City, and its duly authorized officers, agents and servants, as its agent and attorney-in-fact, to act for and in its behalf and stead to execute and file any such applications and to do all other lawfully permitted acts to further the application for, prosecution, issuance, maintenance or transfer of letters of patents, copyright and other registrations. This power of attorney is coupled with an interest and shall not be affected by Contractor's subsequent incapacity.
5. Inspection
. Contractor's performance, place of business and records pertaining to this Contract are subject to monitoring, inspection, review and audit by authorized representatives of the CITY, the State of California, and the United States Government.
If the project or services set forth in Exhibit A shall be performed on City or other public property, City shall have the right to inspect such work without notice. If such project or services shall not be performed on City or other public property, City shall have the right to inspect such work upon reasonable notice.
6. Services
. The project or services set forth in Exhibit A shall be performed to the full satisfaction and approval of City. In the event that the project or services set forth in Exhibit A are also itemized by price, City, in its sole discretion, may, upon notice to Contractor, delete certain items or services set forth in Exhibit A, in which case there shall be a corresponding reduction in the amount of compensation paid to Contractor. 222
General Conditions/EJ/TE 01-19-11 3 of 13
Contractor shall, at its own cost and expense, furnish all facilities and equipment necessary for Contractor to complete the project or perform the services required herein, unless otherwise provided in Exhibit A.
7. Records . Contractor shall keep and make available for inspection and copying by authorized representatives of the City, the State of California, and the United States Government, the Contractor's regular business records and such additional records pertaining to this Contract as may be required by the City.
Contractor shall retain all documents pertaining to this Contract for a period of five (5) years after this C ontract's termination (or for any further period that is required by law) and until all Fede ral or State audits are complete and exceptions resolved for this contract's funding period. Upon request, CONTRACTOR shall make thes e records available to authorized representatives of the CITY, the State of California, and the United States Government.
Contractor shall keep full and detailed accounts, maintain records, and exercise such controls as may be necessary for proper financial management under this Contract. The Contractor’s accounting and control systems shall be satisfactory to City. Contractor's accounting systems shall conform to generally accepted accounting principles and all records shall provide a breakdown of total costs charged under this Contract, including properly executed payrolls, time records, utility bills, invoices and vouchers. The City shall be afforded prompt access to Contractor's records, books, and Contractor shall preserve such project records for a period of at least five (5 years after the termination of this Contract , or for such longer period as may be required by law.
Contractor shall permit City and its authorized representatives and accountants to inspect, examine and copy Contractor's books, records, accounts, correspondence, instructions, drawings, receipts, subcontracts, purchase orders, vouchers, memoranda and other data relating to the project or services set forth in Exhibit A, and any and all data relevant to this Contract at any reasonable time for the purpose of auditing and verifying statements, invoices, or bills submitted by Contractor pursuant to this Contract and shall provide such assistance as may be reasonably required in the course of such inspection. Contractor shall also allow City access to the record keeping and accounting personnel of Contractor.
City further reserves the right to examine and re-examine said books, records, accounts, and data during the five (5 year period following the termination of this Contract; and Contractor shall in no event dispose of, destroy, alter, or mutilate said books, records, accounts, and data in any manner whatever for five (5 years after the termination of this Contract. 223
General Conditions/EJ/TE 01-19-11 4 of 13
Pursuant to California Government Code § 10527, the parties to this Contract shall be subject to the examination and audit of representatives of the Auditor General of the State of California for a period of three (3) years after final payment under this Contract. The examination and audit shall be confined to those matters connected with the performance of this Contract including, but not limited to, the cost of administering this Contract.
8. Changes and Extra Work . All changes and/or extra work under this Contract shall be performed and paid for in accordance with the following:
Only the City Council or the City Manager may authorize extra and/or changed work. Contractor expressly recognizes that other City personnel are without authorization to either order extra and/or changed work or waive contract requirements. Failure of Contractor to secure the authorization for such extra and/or changed work shall constitute a waiver of any and all right to adjustment in contract price due to such unauthorized work and Contractor thereafter shall be entitled to no compensation whatsoever for performance of such extra and/or changed work.
If Contractor is of the opinion that any work which Contractor has been directed to perform is beyond the scope of this Contract and constitutes extra work, Contractor shall promptly notify City of the fact. The City shall make a determination as to whether or not such work is, in fact, beyond the scope of this Contract and constitutes extra work. In the event that City determines that such work does constitute extra work, City shall provide extra compensation to Contractor on a fair and equitable basis. A change order or Contract Amendment providing for such compensation for extra work shall be negotiated between City and Contractor and executed by Contractor and the appropriate City official.
In the event City determines that such work does not constitute extra work, Contractor shall not be paid extra compensation above that provided herein and if such determination is made by City staff, said determination may be appealed to the City Council; provided, however, a written appeal must be submitted to the City Manager within five (5) days after the staff's determination is sent to Contractor. Said written appeal shall include a description of each and every ground upon which Contractor challenges the staff's determination.
9. Additional Assistance
. If this Contract requires Contractor to prepare
plans and specifications, Contractor shall provide assistance as necessary to resolve any questions regarding such plans and specifications that may arise during the period of advertising for bids, and Contractor shall issue 224
General Conditions/EJ/TE 01-19-11 5 of 13
any necessary addenda to the plans and specifications as requested. In the event Contractor is of the opinion that City's requests for addenda and assistance is outside the scope of normal services, the parties shall proceed in accordance with the changes and extra work provisions of Section 8 of these General Conditions.
10. Professional Ability. Contractor acknowledges, represents and warrants that Contractor and its employees are skilled and able to competently provide the services hereunder, and possess all professional licenses, certifications, and approvals necessary to engage in their occupations.
City has relied upon the professional ability and training of Contractor as a material inducement to enter into this Contract. Contractor shall perform in accordance with generally accepted professional practices and standards of Contractor's profession. In the event that City, in its sole discretion, desires the removal of any person employed or retained by Contractor to perform services hereunder, such person shall be removed immediately upon receiving notice from City.
11. Business License
. Contractor shall obtain a Richmond Business License
before performing any services required under this Contract. The failure to so obtain such license shall be a material breach of this Contract and grounds for immediate termination by City; provided, however, that City may waive the business license requirement in writing under unusual or extraordinary circumstances without necessitating any modification of this Contract to reflect such waiver.
12. Termination Without Default
. Notwithstanding any provision herein to the
contrary, City may, in its sole and absolute discretion and without cause, terminate this Contract at any time prior to completion by Contractor of the project or services hereunder, immediately upon written notice to Contractor. Contractor may terminate this Contract at any time in its sole and absolute discretion and without cause upon 30 days' written notice to City. In the event of termination by either party, Contractor shall be compensated for: (1) all authorized work satisfactorily performed prior to the effective date of termination; (2) necessary materials or services of others ordered by Contractor for this Contract, prior to receipt of notice of termination, irrespective of whether such materials or services of others have actually been delivered, provided that Contractor is not able to cancel such orders. Compensation for Contractor in such event shall be determined by City in accordance with the percentage of the project or services completed by Contractor; and all of Contractor's finished or unfinished work product through the time of the City's last payment shall be transferred and assigned to City. Additionally, in the event of such termination, the City may proceed with the work in any reasonable manner it chooses.
225
General Conditions/EJ/TE 01-19-11 6 of 13
13. Termination in the Event of Default. Should Contractor fail to perform any of its obligations hereunder, within the time and in the manner provided or otherwise violate any of the terms of this Contract, City may immediately terminate this Contract by giving written notice of such termination, stating the reasons for such termination. Contractor shall be compensated as provided in Section 12 of these General Conditions; provided, however, there shall be deducted from such amount the amount of damage, including attorney's fees, expert witness fees and costs, if any, sustained by City by virtue of Contractor's breach of this Contract. Additionally, in the event of such termination, the City may proceed with the work in any reasonable manner it chooses.
14. Conflict of Interest. Contractor acknowledges, represents and warrants that Contractor shall avoid all conflicts of interest (as defined under any federal, state or local statute, rule or regulation, or at common law) with respect to this Contract. Contractor further acknowledges, represents and warrants that no City official or employee has any economic interest, as defined in Title 2, California Code of Regulations §§ 18703.1 through 18703.5, with Contractor that would invalidate this Contract. Contractor acknowledges that in the event that Contractor shall be found by any judicial or administrative body to have any conflict of interest (as defined above) with respect to this Contract, all consideration received under this Contract shall be forfeited and returned to City forthwith. This provision shall survive the termination of this Contract for one (1) year.
15. Indemnification
.
(a) If this Contract is a contract for design professional services subject to California Civil Code Section 2782.8(a) and Contractor is a design professional, as defined in California Civil Code Section 2782.8(b)(2), Contractor shall hold harmless, defend and indemnify the City, its officers, agents, employees, and volunteers from and against any and all claims, damages, losses, and expenses including attorneys’ fees arising out of, or pertaining to, or relating to the negligence, recklessness, or willful misconduct of the Contractor, except where caused by the active negligence, sole negligence, or willful misconduct of the City. To the fullest extent permitted by law, Contractor shall immediately defend and indemnify the City and its officers, agents, employees, and volunteers from and against any and all liabilities, regardless of nature or type, that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Contractor, or its employees, agents, or subcontractors.
Liabilities subject to the duties to defend and indemnify include, without limitation, any and all claims, losses, damages, penalties, fines, and judgments; associated investigation and administrative expenses; defense costs, including but not limited to reasonable attorneys’ fees; court costs; and costs of alternative dispute resolution. Contractor’s obligation to 226
General Conditions/EJ/TE 01-19-11 7 of 13
indemnify applies unless it is finally adjudicated that the liability was caused by the sole active negligence or sole willful misconduct of an indemnified party.
(b) If this Contract is not a contract for design professional services subject to California Civil Code Section 2782.8(a) or Contractor is not a design professional as defined in California Civil Code Section 2782.8(b)(2), Contractor shall indemnify, defend, and hold harmless the City, its officers, agents, employees and volunteers from any and all claims, suits, or actions of every name, kind and description, brought forth on account of injuries to or death of any person or damage to property arising from or connected with the willful misconduct, negligent acts, errors or omissions, ultra-hazardous activities, activities giving rise to strict liability, or defects in design by Contractor or any person directly or indirectly employed by, or acting as, the agent for Contractor in the performance of this Contract, including the concurrent or successive passive negligence of the City, its officers, agents, employees or volunteers.
(c) It is understood that the duty of Contractor to indemnify and hold harmless includes the duty to defend as set forth in Section 2778 of the California Civil Code. Contractor shall be obligated to defend, in all legal, equitable, administrative, or special proceedings, with counsel approved by the City, the City and its officers, agents, employees, and volunteers, immediately upon tender to Contractor of the claim in any form or at any stage of an action or proceeding, whether or not liability is established. An allegation or determination that persons other than Contractor are responsible for the claim does not relieve Contractor from its separate and distinct obligation to defend under this Section 15. The obligation to defend extends through final judgment, including exhaustion of any appeals. The defense obligation includes an obligation to provide independent counsel if Contractor asserts that liability is caused in whole, or in part, by the negligence or willful misconduct of an indemnified party. (d) The review, acceptance or approval of the Contractor’s work or work product by any indemnified party shall not affect, relieve or reduce the Contractor’s indemnification or defense obligations. This Section 15 survives completion of the services or the termination of this Contract.
The provisions of this Section 15 are not limited by, and do not affect, the provisions of this Contract relating to insurance.
(e) Acceptance of insurance certificates and endorsements required under this Contract does not relieve Contractor from liability under this Section
15. This Section 15 shall apply whether or not such insurance policies are determined to be applicable to any such damages or claims for damages.
16. Safety
. Contractor acknowledges that the City is committed to the highest standards of workplace safety. Contractor shall perform all work hereunder in full compliance with applicable local, state and federal safety requirements including but not limited to Occupational Safety and Health Administration requirements, and shall assume sole and complete 227
General Conditions/EJ/TE 01-19-11 8 of 13
responsibility for the safety of Contractor's employees and any subContractor's employees. If a death, serious personal injury or substantial property damage occurs in connection with the performance of this Contract, Contractor shall immediately notify the City by telephone.
17. Insurance. Insurance requirements are set forth in Exhibit F to this Contract. Contractor shall abide by the insurance requirements set forth in said Exhibit F.
18. Non-Liability of Officials and Employees of the City. No official or employee of the City shall be personally liable for any default or liability under this Contract.
19. Compliance with Laws
. Contractor shall comply with all federal, state and
local laws, statutes, ordinances, rules and regulations, and the orders and decrees of any courts or administrative bodies or tribunals, with respect to this Contract, including without limitation environmental laws, employment discrimination laws and prevailing wage laws. Compliance under this provision includes compliance with all provisions of the Richmond Municipal Code ("Municipal Code"), including Chapters 2.50, 2.52, 2.56, and 2.60, if applicable.
Contractor acknowledges that under § 2.60.070 of the Municipal Code ("Living Wage Ordinance"), Contractor shall promptly provide to City documents and information verifying its compliance with the Living Wage Ordinance. Also as prescribed in § 2.60.070, Contractor shall notify each of its affected employees with regards to the wages that are required to be paid pursuant to the Living Wage Ordinance.
Contractor shall comply with § 2.28.030 of the Municipal Code, obligating every Contractor or subcontractor under a contract or subcontract with the City for public work or for goods or for services to refrain from discriminatory employment or subcontracting practices on the basis of race, color, sex, sexual orientation, religious creed, national origin or ancestry of any employee, any applicant for employment or any potential subcontractor.
Contractor acknowledges that the City’s Drug Free Workplace Policy, Violence in the Workplace Policy and the Policy Against Workplace Harassment, are available on the City’s website at
http://www.ci.richmond.ca.us/workplacepolicies
. Contractor agrees to
abide by the terms and conditions of said policies.
20. Limitations upon Subcontracting and Assignment. This Contract binds the heirs, successors, assigns and representatives of Contractor. The Contractor shall not enter into subcontracts for any work contemplated 228
General Conditions/EJ/TE 01-19-11 9 of 13
under this Contract and shall not assign this Contract, nor any portion hereof or monies due or to become due, without the prior written consent of the City Council or its designee.
Contractor acknowledges that the services which Contractor shall provide under this Contract are unique, personal services which, except as otherwise provided herein, Contractor shall not assign or sublet to any other party without the prior written approval of City, which approval may be withheld in City's sole and absolute discretion. In the event that City, in writing, approves any assignment or subletting of this Contract or the retention of subcontractors by Contractor, Contractor shall provide to City upon request copies of each and every subcontract contract prior to the execution thereof by Contractor and subcontractor. Any assignment by Contractor of any or all of its rights under this Contract without first obtaining City's prior written consent shall be a default under this Contract.
The sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Contractor (if applicable), or of the interest of any general partner or joint venturer or syndicate member if Contractor is a partnership or joint-venture or syndicate, which shall result in a change of control of Contractor, shall be deemed an assignment. For this purpose, control shall mean fifty percent or more of the voting power or twenty-five percent or more of the assets of the corporation, partnership or joint-venture.
21. Integration
. This Contract constitutes the entire agreement between the parties concerning the subject matter hereof and supersedes any previous oral or written agreement; provided, however, that correspondence or documents exchanged between Contractor and City may be used to assist in the interpretation of the Exhibits to this Contract.
22. Modifications and Amendments. This Contract may be modified or amended only by a change order or Contract Amendment executed by both parties and approved as to form by the City Attorney.
23. Conflicting Provisions. In the event of a conflict between these General Conditions and those of any Exhibit or attachment hereto, these General Conditions shall prevail; provided, however, that any Special Conditions as set forth in Exhibit E shall prevail over these General Conditions. In the event of a conflict between the terms and conditions of any two or more Exhibits or attachments hereto, those prepared by City shall prevail over those prepared by the Contractor, and the terms and conditions preferred by the City shall prevail over those preferred by the Contractor.
24. Non-exclusivity. Notwithstanding any provision herein to the contrary, the services provided by Contractor hereunder shall be non-exclusive, and 229
General Conditions/EJ/TE 01-19-11 10 of 13
City reserves the right to employ other Contractors in connection with the project.
25. Exhibits. All Exhibits hereto are made a part hereof and incorporated herein by reference; provided, however, that any language in Exhibit A which does not pertain to the project description, proposal, scope of services, or method of compensation (as applicable) , or any corresponding responsibilities of City, shall be deemed extraneous to, and not a part of, this Contract.
26. Force Majeure. Neither party hereto shall be considered in default in the performance of its obligations hereunder to the extent that the performance of such an obligation is prevented or delayed by reason of acts of God, strikes, boycotts, lock-outs, inability to procure materials not related to the price thereof, failure of power, restrictive governmental laws and regulations enacted after the date of this Contract, riots, civil unrest, acts of terrorism, insurrection, war, declaration of a state or national emergency or other reasons of a like nature not within the reasonable control of such party.
27. Time of the Essence
. Time is of the essence of this Contract. Contractor and City agree that any time period set forth in Exhibit A represents their best estimates with respect to completion dates and both Contractor and City acknowledge that departures from the schedule may occur.
Therefore, both Contractor and City will use reasonable efforts to notify one another of changes to the schedule. Contractor shall not be responsible for performance delays caused by others, or delays beyond Contractor's control, and such delays shall extend the times for performance of Contractor's work.
28. Confidentiality
. Contractor agrees to comply with, and to require its employees, agents and partners to comply with, all applicable State or Federal statutes or regulations respecting confidentially, including but not limited to, the identity of persons served under this Contract, their records, or services provided them, and assures that:
All applications and records concerning any individual made or kept by Contractor or any public officer or agency in connection with the administration of or relating to services provided under this Contract will be confidential, and will not be open to examination for any purposes not directly connected with the administration of such service.
No person will publish or disclose or permit or cause to be published or disclosed, any list of persons receiving services, except as may be required in the administration of such service.
230
General Conditions/EJ/TE 01-19-11 11 of 13
29. Third Parties. Nothing herein shall be interpreted as creating any rights or benefits in any third parties. For purposes hereof, transferees or assignees as permitted under this Contract shall not be considered "third parties."
30. Governing Law. This Contract shall be construed in accordance with the law of the State of California without regard to principles of conflicts of law.
This Contract is made in Contra Costa County, California, and any action relating to this Contract shall be instituted and prosecuted in the courts of Contra Costa County, California.
31. Nonrenewal
. Contractor understands and agrees that there is no
representation, implication, or understanding that the services provided by Contractor under this Contract will be purchased or renewed by the City under a new contract following expiration or termination of this Contract, and waives all rights or claims to notice or hearing respecting any failure by City to continue the purchase of all or any failure to continue purchase of all or any such services from Contractor.
32. Claims. Any claim by Contractor against City hereunder shall be subject to Government Code §§ 800 et seq. The claims presentation provisions of said Act are hereby modified such that the presentation of all claims hereunder to the City shall be waived if not made within six months after accrual of the cause of action.
33. Interpretation. This Contract shall be interpreted as if drafted by both parties.
34. Warranty. In the event that any product shall be provided to the City as part of this Contract, Contractor warrants as follows: Contractor possesses good title to the product and the right to transfer the product to City; the product shall be delivered to the City free from any security interest or other lien; the product meets any specifications contained herein; the product shall be free from material defects in materials and workmanship under normal use for a period of one (1) year from the date of delivery; and the product shall be fit for its intended purpose(s). Notwithstanding the foregoing, consumable and maintenance items (such as light bulbs and batteries) shall be warranted for a period of one hundred and eighty (180) days from the date of delivery. All repairs during the warranty period shall be promptly performed by Contractor, at Contractor's expense, including shipping.
35. Severability
. In the event that any of the provisions or portions or applications thereof of this Contract are held to be unenforceable or invalid by any court of competent jurisdiction, City and Contractor shall negotiate an equitable adjustment in the provisions of the Contract with a view 231
General Conditions/EJ/TE 01-19-11 12 of 13
toward effecting the purpose of this Contract, and the validity and enforceability of the remaining provisions or portions or applications thereof, shall not be affected thereby.
36. Authority. City warrants and represents that the signatory hereto (the Mayor of the City of Richmond or the City Manager) is duly authorized to enter into and execute this Contract on behalf of City. The party signing on behalf of Contractor warrants and represents that he or she is duly authorized to enter into and execute this Contract on behalf of Contractor, and shall be personally liable to City if he or she is not duly authorized to enter into and execute this Contract on behalf of Contractor.
37. Waiver. The waiver by City of any breach of any term or provision of this Contract shall not be construed as a waiver of any subsequent breach.
Inspections or approvals, or statements by any officer, agent or employee of the City relating to the Contractor’s performance, or payments therefore, or any combination of these acts, shall not relieve the Contractor’s obligation to fulfill this Contract as prescribed; nor shall the City be thereby stopped from bringing any action for damages or enforcement arising from any failure to comply with any of the terms and conditions of this Contract.
38. Possessory Interest. If this Contract results in the Contractor having possession of, claim to or right to the possession of land or improvements, but does not vest ownership of the land or improvements in the same person, or if this Contract results in the placement of taxable improvements on tax exempt land (Revenue and Taxation Code 107), such interest or improvements may represent a possessory interest subject to property tax, and Contractor may be subject to the payment of property taxes levied on such interest.
39. Performance and Final Acceptance
.
Contractor represents that it is experienced, qualified, registered, licensed, equipped, organized and financed to perform the services under this Contract.
Contractor shall perform the services under this Contract with that degree of skill and judgment normally exercised by professional firms performing services of a similar nature in the State of California, and shall be responsible for the professional quality, technical accuracy and coordination of the services it performs under this Contract. In addition to the other rights and remedies which City may have, Contractor shall, at its own expense, correct any services which fail to meet the above standard.
232
General Conditions/EJ/TE 01-19-11 13 of 13
City shall provide Contractor an opportunity to cure errors and omission which may be disclosed during the review of submittals, with no increase in the authorized Contract Payment Limit. Should Contractor fail to make necessary corrections in a timely manner, such corrections shall be made by the City and the cost thereof shall be charged to Contractor.
If warranted, City shall determine, and Contractor may request such determination, that Contractor has satisfactorily completed performance of this Contract. Upon such determination, City shall issue to Contractor a written Notice of Final Acceptance, after which Contractor shall not incur further costs under this Contract. Contractor shall respond to such Notice of Final Acceptance by executing and submitting to City a Release and Certificate of Final Payment.
40. Survival. The rights and obligations of the parties which by their nature survive termination or completion of the services covered by this Contract shall remain in full force and effect after termination or completion. 233
For the Contract between the City of
Richmond and
EXHIBIT E
SPECIAL CONDITIONS
The General Conditions are hereby amended to include the following modifications and/or provisions (if applicable):
234
For the Contract between the City of
Richmond and
EXHIBIT F
INSURANCE PROVISIONS
During the entire term of this Contract and any extension or modification thereof, the CONTRACTOR shall keep in effect insurance policies meeting the insurance requirements specified in the insurance provisions which are attached hereto and incorporated herein by this reference.
235
___ Exhibit F
___ Section 8
City of Richmond - Insurance Requirements - Type 2:
Professional Services
Type 2 – Page 1 of 3
Revised: September 2011
In all instances where CONTRACTOR or its representatives will provide professional services (architects, engineers, construction management, counselors, medical professionals, hospitals, clinics, attorneys, consultants, accountants, etc.) to the City of Richmond (City), the City requires the following MINIMUM insurance requirements and limits.
CONTRACTOR shall procure and maintain for the duration of the contract, agreement, or other order for work, services or supplies, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the CONTRACTOR, its agents, representatives, employees or subcontractors. Maintenance of proper insurance coverage is a material element of the contract. Failure to maintain or renew coverage or to provide evidence of renewal may be treated by the City as a material breach of contract.
CONTRACTOR agrees that in the event of loss due to any of the perils for which it has agreed to provide Commercial General Liability insurance, CONTRACTOR shall look solely to its insurance for recovery.
CONTRACTOR hereby grants to CITY, on behalf of any insurer providing Commercial General Liability insurance to either CONTRACTOR or CITY with respect to the services of CONSULTANT herein, a waiver of any right to subrogation which any such insurer of said CONTRACTOR may acquire against the CITY by virtue of the payment of any loss under such insurance.
Original, signed certificates and original, separate policy endorsements, naming the City as an additional insured for general liability coverage, as well as a waiver of subrogation for Workers’ Compensation insurance, shall be received and approved by the City before any work may begin. However, failure to do so shall not operate as a waiver of these insurance requirements.
City reserves the right to modify or require additional coverages for specific risk exposures depending on scope of CONTRACTORS work.
Minimum coverage is detailed below. The policy limits of coverage shall be made available to the full limits of the policy. The minimum limits stated herein shall not serve to reduce the policy limits of coverage of CONTRACTOR.
Minimum Scope of Insurance – the following forms shall be provided and coverage shall be at least as broad as the following:
1. Insurance Services Office Commercial General Liability coverage (ISO Occurrence Form CG 0001), and including coverage for bodily and personal injury, property damage, and products and completed operations (if applicable).
2. Insurance Services Office Automobile Liability coverage (ISO Form CA 0001, Code 1, Any Auto).
3. Original and Separate Additional Insured Endorsement for General Liability (ISO Form CG 20 10 11/85 or its equivalent) with primary and non-contributory language.
4. Workers’ Compensation Insurance as required by the State of California including Employer’s Liability coverage.
5. Original and Separate Waiver of Subrogation for Workers’ Compensation insurance.
6. Professional Liability or Errors & Omissions Liability Insurance appropriate to the CONTRACTOR’s profession (if required.)
Required Coverage Minimum Limits
Workers’ Compensation and
Employers’ Liability
Statutory limits as required by the State of California including $1 million Employers’ Liability per accident, per employee for bodily injury or disease.
If CONTRACTOR
is self-insured, provide a certificate of Permission to Self- Insure, signed by the California Department of Industrial Relations and Self- Insurance. If contractor is a sole proprietor (has no employees) than contractor must sign “Contractor Release of Liability” found at:
http://www.ci.richmond.ca.us/index.aspx?nid=61.
General Liability
(primary and excess limits
combined)
$2,000,000 per occurrence for bodily injury, personal injury and property damage. If the policy includes a general aggregate, either the general aggregate shall apply separately to this project, service or location or the minimum required aggregate limit shall be twice the per occurrence limit ($4 million aggregate limit).
Policy shall be endorsed to name the City of Richmond as an additional insured per the conditions detailed below.
236
___ Exhibit F
___ Section 8
City of Richmond - Insurance Requirements - Type 2:
Professional Services
Type 2 – Page 2 of 3
Revised: September 2011
Automobile Liability $1,000,000 per occurrence for bodily injury and property damage.
PROJECT COST R EQUIRED LIMIT
$0 - $1 million $1 million p/o
$1 million - $5 million $2 million p/o
Over $5 million $5 million p/o
Professional Liability or Errors &
Omissions Liability –
Required for all professionals
including architects, engineers,
consultants, construction
management, counselors, medical
professionals, hospitals, clinics,
attorneys and accountants, & other
consultants as may be required by
the City.
Required Policy Conditions
Additional Insured Endorsement
Applicable to General Liability coverage.
The City of Richmond, its officers, officials, employees, agents and volunteers are to be named as additional insureds for all liability arising out of the operations by or on behalf of the named insured including bodily injury, deaths and property damage or destruction arising in any respect directly or indirectly in the performance of this contract.
ISO form CG 20 10 (11/85) or its equivalent is required. If the Contractor is supplying their product or providing a service then the endorsement must not
exclude products and completed operations
coverage. If it does, then CG 20 37 (10/01) is also required.
SAMPLE Endorsements can be found at
http://www.ci.richmond.ca.us/index.aspx?nid=61
.
Primary and Noncontributory The contractor’s insurance coverage must be primary coverage as it pertains to the City, its officers, officials, employees, agents and volunteers. Any insurance or self insurance maintained by the City is wholly separate from the insurance of the contractor and in no way relieves the contractor from its responsibility to provide insurance.
Waiver of Subrogation
Endorsement Form
Contractor’s insurer will provide a Waiver of Subrogation in favor of the City for Workers’ Compensation Insurance during the life of this contract.
SAMPLE Endorsements can be found at
http://www.ci.richmond.ca.us/index.aspx?nid=61.
Deductibles and Self-Insured
Retentions
Any deductible or self-insured retention must be declared to and approved by the City. At the option of the City either the insurer shall reduce or eliminate such deductibles or self-insured retention as respects the City or the CONTRACTOR shall procure a financial guarantee in an amount equal to the deductible or self-insured retention guaranteeing payment of losses and related investigations, claims administration and defense expenses.
Contractor is responsible for satisfaction of the deductible and/or self-insured retention for each loss.
A. M. Best Rating A:VII or Better. If the A.M. Best Rating falls below the required rating, CONTRACTOR must replace coverage immediately and provide notice to City.
Umbrella/Excess Liability Policies
If an Umbrella or Excess Liability Policy is used to meet the liability limits, coverage shall be as broad as specified for underlying coverage’s and cover those insured in the underlying policies.
237
___ Exhibit F
___ Section 8
City of Richmond - Insurance Requirements - Type 2:
Professional Services
Type 2 – Page 3 of 3
Revised: September 2011
Claims-Made Policies
If any insurance policy is written on a claims-made form: 1) the retroactive date must be shown, and must be before the date of the contract or the beginning of contract work. 2) Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work. 3) If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a retroactive date prior to the contract effective date, the Contractor must purchase an extended period coverage for a minimum of five (5) years after completion of contract work.
Subcontractors
CONTRACTOR
shall include all subcontractors as insured under its policies or shall furnish to the City for review and approval, separate certificates and endorsements for each subcontractor. All coverage for subcontractors shall be subject to all of the requirements stated herein.
CONTRACTOR agrees to defend and indemnify the City of Richmond for any damage resulting to it from failure of either CONTRACTOR or any subcontractor to take out or maintain the required insurance policies.
The fact that
insurance is obtained by CONTRACTOR, and/or CONTRACTOR’s subcontractors, will not be deemed to release or diminish the liability of CONTRACTOR, including, without limitation, liability under the indemnity provisions of this contract. Damages recoverable by CITY from CONTRACTOR or any third party will not be limited by the amount of the required insurance coverage.
Verification of Coverage
All original certificates and endorsements shall be received and approved by the City before work may begin .
The City of Richmond reserves the right to require complete, certified copies of all required insurance policies including endorsements affecting the coverage at any time.
Original insurance certificates and required policy endorsements shall be mailed or delivered to the Designated Project Manager for the City of Richmond.
Insurance certificates and endorsements may be faxed to the Designated Project Manger. However, CONTRACTOR must mail the original certificates and endorsements to Designated Project Manager once faxed.
Continuous Coverage
CONTRACTOR shall maintain the required insurance for the life of the contract. Should the CONTRACTOR cease to have insurance as required during this time, all work by the CONTRACTOR pursuant to this agreement shall cease until insurance acceptable to the City is provided. In the event that CONTRACTOR fails to comply with the City’s insurance requirements, the City may take such action as it deems necessary to protect the City’s interests. Such action may include but is not limited to termination of the contract, withholding of payments, or other actions as the City deems appropriate.
If services or the scope of work extend beyond the expiration dates of the required insurance policies initially approved by the City, CONTRACTOR must provide updated certificates and endorsements indicating that the required coverage, terms and conditions are still in place. Renewal certificates and updated endorsements shall be mailed to the Designated Project Manager.
Cancellation
CONTRACTOR shall ensure that coverage shall not be cancelled, reduced or otherwise materially changed except after thirty (30) days’ prior written notice has been given to the City.
Reporting Requirements
Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the City, its officers, officials, employees or volunteers.
Consistent with Public Policy
The insuring provisions, insofar as they may be judged to be against public policy shall be void and unenforceable only to the minimum extent necessary so that the remaining terms and provisions herein may be consistent with public policy and thus enforceable.
238
239
COMMERCIAL UMBRELLA POLICY DECLARATIONS
PRODUCER: POLICY NUMBER: 2023-62985-UMB
M. A. Hays Co.
232 Broadway
Richmond, CA 94804
Item 1 NAME OF INSURED AND MAILING ADDRESS:
Groundwork Richmond, Inc.
249 Tewksbury Ave. Ste. A
Richmond, CA 94801
$625THE ANNUAL AND MINIMUM PREMIUM DUE AT INCEPTION:Item 3
IN RETURN FOR THE PAYMENT OF THE PREMIUM, AND SUBJECT TO ALL THE TERMS OF THIS POLICY, WE AGREE WITH YOU TO PROVIDE THE COVERAGE AS STATED IN THIS POLICY.
BUSINESS DESCRIPTION:
AT 12:01 A.M. STANDARD TIME AT YOUR MAILING ADDRESS SHOWN ABOVE TOFROMPOLICY PERIOD:Item 2 3/23/2023 7/15/2023
Community revitalization through urban greening projects Item 4
Excluded
Excluded
Directors and Officers Liability Aggregatef.
iv) Each Claim - Employee Benefits Liability
ExcludedImproper Sexual Conduct and Physical Abuse Liability Aggregateg.
Each Claim - Social Service Professional Liabilityd.
Excluded
c. Each Claim - Improper Sexual Conduct and Physical Abuse Liability Each Claim - Directors and Officers Liabilityb.
Excluded
.......................................................................... iii) Each Injury - Liquor Liability
Excluded
ii) Each Accident - Business Auto Liability
Occurrence / Accident / Injury / Claim Limits (where applicable):a.
LIMITS OF INSURANCE:
2,000,000
2,000,000
i) Each Occurrence - Commercial General Liability and Products- Completed Operations Liability
Aggregate limits:
Commercial General Liability, Business Auto Liability, Products- Completed Operations Liability, Liquor Liability, and Employee Benefits Liability Aggregate (where applicable): .................................................................................................................. e.
Social Service Professional Liability Aggregateh.
.....................................
.................................................................. ................................................................................ ........................................
....................................................................... ............................................
Item 5
RETROACTIVE DATES - SEE SCHEDULE OF UNDERLYING INSURANCE FORMS AND ENDORSEMENTS ATTACHED TO THIS POLICY AT INCEPTION (NUMBER AND EDITION DATE):
CU 21 33 01 15, NIAC-E003 UMB 08 20, NIAC-E180 UMB 01 21, NIAC-E253 UMB 08 21, NIAC-E42 UMB 09 19, SCHEDULE A 01 80, UMB 231 06 16, UMB 232 06 16, UMB-100 05 21, UMB166 12 88, UMB62 05 13
COUNTERSIGNED:
(AUTHORIZED REPRESENTATIVE)
BY
THESE DECLARATIONS, THE ATTACHED SCHEDULE OF UNDERLYING INSURANCE, TOGETHER WITH THE ATTACHED SCHEDULE OF FORMS AND ENDORSEMENTS, AND ANY FORMS AND ENDORSEMENTS WE MAY LATER ATTACH TO REFLECT CHANGES, MAKE UP AND COMPLETE THE ABOVE NUMBERED POLICY.
NIAC - UMB / 2-99
Notice: This risk pooling contract is issued by a pooling arrangement authorized by California Corporations Code Section 5005.1. The pooling arrangement is not subject to all of the insurance laws of the State of California and is not subject to regulation by the Insurance Commissioner. Insurance guaranty funds are not available to pay claims in the event the risk pool becomes insolvent.
3/28/2023
240
Groundwork Richmond, Inc.
2023-62985-UMB
NAME OF INSURED:
CONTROL NUMBER:POLICY NUMBER:
SCHEDULE A - SCHEDULE OF UNDERLYING INSURANCE
62985
TYPE OF POLICY APPLICABLE LIMITS INSURER
POLICY # APPLICABLE PERIOD
Uninsured/Underinsured Motorist ....................... 07/15/2023to03/23/2023
(Does not include:Terrorism Coverage - Certified Acts)
N/A
$1,000,000
NIAC
2022-62985
Bodily Injury and Property DamageAutomobile
Liability
Business
Auto
(A)
Combined Single Limit ........................................ 07/15/2023to
2022-62985$2,000,000
$1,000,000
$1,000,000
$2,000,000
N/A
03/23/2023
Damage to Premises Rented to You ....................
(any one premises)
(Does not include:Terrorism Coverage - Certified Acts)
....................
................................
..................................Commercial
General
Liability
(B)
Personal & Advertising Injury Limit
Products/Completed Operations Aggregate Limi
General Aggregate Limit
Each Occurrence Limit NIAC
...................................
....................................................
.....................
Aggregate Limit
Social
Service
Professional
Liability
(C) Each Occurrence Limit N/A
N/A
Coverage B - Employers Liability(D) Standard
Workers
Compensation
& Employers
Liability
Security National Ins.
Co.
SWC1373483
$1,000,000
$1,000,000
$1,000,000
(Does not include: Terrorism Coverage - Certified Acts) 03/23/2023 to 07/15/2023
Policy Limit
Each Employee
Each Accident
Bodily Injury by Disease
Bodily Injury by Disease
Bodily Injury by Accident ..................................... .....................................
.....................................
.................................
......................................
N/AGeneral Aggregate Limit
N/AEach Occurrence LimitImproper
Sexual
Conduct and
Physical Abuse
Liability
(E)
................................................
................................. N/A
N/A
Directors'
And
Officers'
(F)
Aggregate Limit
Each Wrongful Act Limit
Each Common Cause Limit
Aggregate Limit
............................
................................................
$1,000,000
$1,000,000
(G) Liquor
Liability
(Does not include:Terrorism Coverage - Certified Acts)
03/23/2023 07/15/2023
2022-62985
NIAC to
(H) Employee
Benefits
Liability
Aggregate Limit
Each Employee ................................................ ................................................
N/A
N/A
241
INDEX OF FORMS ATTACHED TO THE POLICY
POLICY NUMBER: 2023-62985-UMB-NPO
Groundwork Richmond, Inc.NAME OF INSURED: Page 1
UMBRELLA FORMS AND ENDORSEMENTS FORM NUMBER/EDITION DATE Exclusion of Terrorism CU 21 33 01 15
Member Criteria NIAC-E003 UMB 08 2
Communicable Disease - Exclusion NIAC-E180 UMB 01 2
Workers' Compensation - Exclusion NIAC-E253 UMB 08 2
Nuclear, Chemical and Biological Hazard Exclusion NIAC-E42 UMB 09 19 Schedule A - Schedule of Underlying Insurance SCHEDULE A 01 80 Privacy Liability and Cyber Coverage Exclusion UMB 231 06 16 Medical Payments Exclusion UMB 232 06 16
Commercial Umbrella Policy UMB-100 05 21
Unimpaired Aggregate Limits Endorsement (Non-Concurrency) UMB166 12 88 Employers' Liability Following Form Endorsement UMB62 05 13 This list of forms is not part of the actual policy, but is for your information only.
Please refer to the policy(s) for actual limits, coverages and exclusions. 242
243
244
245
246
247
248
249
CITY
OF RICHMOND
Sanctuary City Compliance Statement
The undersigned, an authorized agent of (hereafter
"Contractor"), has had an opportunity to review the requirements of City of Richmond Ordinance 12-18 (hereafter "Sanctuary City Contracting Ordinance" or “SCCO”). Contractor understands and agrees that the City may choose with whom it will maintain business relations and may refrain from contracting with any person or entity that provides Data Broker or Extreme Vetting services to the U.S. Immigration and Customs Enforcement Division of the United States Department of Homeland Security (“ICE”). Con tractor understands the meaning of the following terms used in the SCCO:
a. "Data Broker” means either of the following:
i. The collection of information, including personal information about consumers, from a wide variety of sources for the purposes of reselling such information to their customers, which include both private-sector business and government agencies;
ii. The aggregation of data that was collected for another purpose from that for which it is ultimately used.
b. “Extre me Vetting” means data mining, threat modeling, predictive risk analysis, or other similar services."
Contractor understands that it is not eligible to receive or retain a City contract if at the time the Contract is executed, or at any time during the term of the Contract, it provides Data Broker or Extreme Vetting services to ICE.
Contractor further understands and agrees that Contractor's failure to comply with the SCCO shall constitute a material default of the Contract and the City Manager may terminate the Contract and bar Contractor from bidding on future contracts with the City for five (5) years from the effective date of the contract termination.
By executing this Statement, Contractor certifies that it complies with the requirements of the SCCO and that if at any time during the term of the Contract it ceases to comply, Contractor will promptly notify the City Manager in writing.
Any person or entity who knowingly or willingly supplies false information in violation of the SCCO shall be guilty of a misdemeanor and subject to a $1,000 fine.
Based on the foregoing, the undersigned declares under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Execu ted this day of , 20 , at , C alifornia.
Printed Name: Title:
Signed: Date:
Business Entity:
Vendor SCCO Compliance Statement (Augt2020)
23 EXHIBIT G
250
251
252
253
254
255
256
257
258
259
260
261
262
263
CIT
Y OF RICHMOND
Sanctuary City Compliance Statement
The undersigned, an authorized agent of (hereafter
"Contractor"), has had an opportunity to review the requirements of City of Richmond Ordinance 12-18 (hereafter "Sanctuary City Contracting Ordinance" or “SCCO”). C
ontractor understands
and agrees that the City may choose with whom it will maintain business relations and may refrain from contracting with any person or entity that provides Data Broker or Extreme Vetting services to the U.S. Immigration and Customs Enforcement Division of the United States Department of Homeland Security (“ICE”). Con tractor understands the meaning of the following terms used in the SCCO:
a. "Data Broker” means either of the following:
i. The collection of information, including personal information about consumers, from
a wide variety of sources for the purposes of reselling such information to their customers, which include both private-sector business and government agencies;
ii. The aggregation of data that was collected for another purpose from that for which it is ultimately used.
b. “Extrem e Vetting” means data mining, threat modeling, predictive risk analysis, or other similar services."
Contractor understands that it is not eligible to receive or retain a City contract if at the time the Contract is executed, or at any time during the term of the Contract, it provides Data Broker or Extreme Vetting services to ICE.
Contractor further understands and agrees that Contractor's failure to comply with the SCCO shall constitute a material default of the Contract and the City Manager may terminate the Contract and bar Contractor from bidding on future contracts with the City for five (5) years from the effective date of the contract termination.
By executing this Statement, Contractor certifies that it complies with the requirements of the SCCO and that if at any time during the term of the Contract it ceases to comply, Contractor will promptly notify the City Manager in writing.
Any person or entity who knowingly or willingly supplies false information in violation of the SCCO shall be guilty of a misdemeanor and subject to a $1,000 fine.
Based on the foregoing, the undersigned declares under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Execu ted this day of , 20 , at , C alifornia.
Printed Name: Title:
Signed: Date:
Business Entity:
Vendor SCCO Compliance Statement (Augt2020)
23 264
CITY OF RICHMOND
STANDARD CONTRACT
Department: Project Manager:
Project Manager E-mail:
Project Manager Phone No:
PR No: Vendor No: P.O./Contract No:
Description of Services:
The parties to this STANDARD CONTRACT do mutually agree and promise as follows:
1. Parties.
The parties to this Contract are the City of Richmond (herein referred to as the “City”) and the following named Contractor:
Company Name:
Street Address:
City, State, Zip Code:
Contact Person:
Telephone: Email:
Business License No: / Ex
piration Date:
A California [ ] corporation, [ ] limited liability corporation [ ] general partnership, [ ] limited partnership, [ ] individual, [ ] non-profit corporation, [ ] individual dba as [specify:] , [ ] other [specify:]
2. Term. The effective date of this Contract is and it terminates unless terminated as provided herein.
3. Payment Limit.
City’s total payments to Contractor under this Contract shall not exceed $ . City shall not pay for services that exceed the Contract Payment Limit unless a contract amendment has been approved by the City Council or City Manager.
4. Contractor’s Obligations.
Contractor shall provide those services and carry out
that work described in the Service Plan (Exhibit A) which is attached hereto and is incorporated herein by reference, subject to all the terms and conditions contained or incorporated herein.
5. City's Obligations.
City shall make to the Contractor those payments described in the Payment Provisions (Exhibit B) which are attached hereto and are incorporated herein by reference, subject to all the terms and conditions contained or incorporated herein.
265
6. Authorized Representatives and Notices. This Contract is subject to the Authorized Representatives and Notices Provisions (Exhibit C) which are attached hereto and are incorporated herein by reference.
7. General Conditions.
This Contract is subject to the General Conditions
(Exhibit D) which are attached hereto and are incorporated herein by reference, subject to all the terms and conditions contained or incorporated herein.
8. Special Conditions
. This Contract is subject to the Special Conditions (Exhibit E) (if any) which are attached hereto and are incorporated herein by reference, subject to all the terms and conditions contained or incorporated herein. (Note:
other than Public Works contracts, the City will agree to Special Conditions only in unusual circumstances.)
9. Insurance Provisions.
This Contract is subject to the Insurance Provisions
(Exhibit F) which are attached hereto and are incorporated herein by reference.
10. Signatures. These signatures attest the parties' Contract hereto:
CITY OF RICHMOND CONTRACTOR:
a municipal corporation
By:
(* The Corporation Chairperson of the Board,
President or Vice President should sign below)
Title: By:
I hereby certify that this Contract Title:
has been approved by City Council.
Date Signed:
B y :
City Clerk
(* The Corporation Chief Financial Officer,
Secretary or Assistant Secretary should sign below)
Approved as to form:
B y :
B y : T i t l e :
City Attorney
Date Signed:
(NOTE: Pursuant to California Corporations
Code Section 313, if Contractor is a corporation
or nonprofit organization, this Contract (1) must
be signed by (a) the Chairperson of the Board,
President or Vice-President and
(b) the
Secretary any Assistant Secretary, the Chief
Financial Officer or any Assistant Treasurer.
LIST OF ATTACHMENTS:
Service Plan Exhibit A
Payment Provisions Exhibit B
Authorized Representatives and Notices Exhibit C
General Conditions Exhibit D
Special Conditions Exhibit E
Insurance Provisions Exhibit F
Standard Contract/EJ/TE 9-26-07
266
For the Contract between the City of
Richmond and
EXHIBIT A
SERVICE PLAN
Contractor shall, to the satisfaction of the , perform the following services and be compensated as outlined below:
267
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
Project # and Name: 2 - Richmond Wellness Trail Strategy: Active Transportation Lead Entity: Trust for Public Land
Project Description: The Richmond Wellness Trail, Phase 2, project will develop protected cycle tracks and shaded pedestrian routes to provide a continuous route from the combined BART/Amtrak station to the new Ferry terminal. The project directly implements the City of Richmond's General Plan, Pedestrian Plan, and Bicycle Master Plan. This work is to be completed by 2026.
Operations & Maintenance Plan: Long-term maintenance will be provided by the City of Richmond. The City owns and maintains the right-of-way, and intends to enter into agreements with TPL to develop the project pursuant to the grant proposal. The City of Richmond has agreed to maintain and operate the project for at least 25 years, including roadway maintenance. Some of the maintenance duties related to the trees and landscaping will be taken on by active community members in collaboration with Richmond’s Parks Division. Richmond’s Public Works Department will be responsible for any maintenance issues related to streetlights or vandalism. The City, TPL and CalTrans have agreed to enter into a maintenance and operations agreement for development and continued maintenance of the section of the Wellness Trail owned by CalTrans.
Reimbursement Conditions: Grantee will not be reimbursed for Task 3 (construction) until all readiness deliverables within Task 1 and 2 are received, approved and notified through an updated readiness memo provided by the TCC Grant Manager.
268
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
Task Deliverable(s) Timeline Grant Funds Leverage Funds Task 1: Readiness
A: Organize and lead community
outreach with community members,
community leaders and stakeholders.
A minimum of three community
workshops will take place to a) inform
the community of the project and its
part in City of Richmond Pedestrian
Plan and Bicycle Master Plan, b)
gather local knowledge and input on
design, and c) secure the
community's support of the project.
A: 1) Summary of community
input and concept plan
2) Final Meeting Materials
(curriculum, handouts)
3) Publicity Materials
(announcements, photos from
key events) Grant Execution -
August 2024 $419,800.00 $0
B: Obtain final CEQA NOE, permits,
and site control letter from CalTrans.
Readiness Condition
B: Final CEQA, permits and
CalTrans site control
C: Trail design and pre-construction
documentation
Readiness Condition
C: Final 100% Design Plans,
Specifications, & Estimates
(PS&E)
Task 2: Project Management, Community Engagement, and Design A: Hire General Contractor
A: 1) Final notice of bid
selection
Readiness Condition:
2) Finalized plans/summary of
final plans and project schedule
Subtask A: Grant
Execution - July
2024
$240,776.00 $0
269
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
B: Conduct project management,
technical and construction contractor
oversight and grant administration
and indicator tracking work.
B: 1) Bimonthly progress
reports and invoicing
2) Final report highlighting
project metrics
3) Regular GHG calculations as
needed
4) Annual Indicator Reports
5) Participation in Evaluation
Surveys, Interviews, Focus
Groups, Information Requests
Subtask B: Project
Completion Period
Task 3: Construction
A: Mobilize, prepare site, implement
traffic control, and demolition work
A-E: 1) Finalized
plans/summary of final plans
2) Final report of site
preparation (before/after
photos, summary of work
completed, outcomes)
3) Final summary report of site
improvements (before/after
photos, summary of work
completed, outcomes)
Grant Execution -
2025 $3,388,000.00 $0
B: Repair and replace storm drains,
relocate existing utilities, and install
new electrical system for irrigation
controller and lighting
C: Install improvements: bike
improvements, traffic calming
features, traffic signals at
intersections, and wayfinding signs.
D: Testing and inspections of
material strength/stability by third
party engineer
E: Construction Administration and
oversight of demolition, site
preparation, and installation of
improvements
270
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
Equipment N/A Project Completion
Period $0 $0
Contingency 10% Contingency Project Completion
Period $362,877.60 $0
Lead Entity Indirect Costs
Indirect costs consistent with
the TCC guidelines and grant
agreement, at a rate approved
under this grant agreement.
Project Completion
Period $404,700.00 $0
Project Total $4,816,153.60 $0.00
271
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
EXHIBIT C – SPECIAL TERMS AND CONDITIONS
Part 2 – Project-Specific Terms and Conditions
Grantee certifies that it will ensure that the Lead Entity of each Project adheres to the following requirements.
1. Active Transportation
Allowable Costs
Active Transportation projects may purchase walking and bicycling equipment for training and educational purposes only, and items may not be given away or used as incentives or prizes. Unit costs for one item cannot exceed $50, unless noted below or pre-approved by SGC. Cost limits are excluding tax, and donated equipment is not subject to cost limitations.
Equipment may include:
• Bicycles (limited to $250 per bicycle)
• Bicycle helmets (limited to $20 per helmet)
• Bicycle repair stands (limited to $200 per stand)
• Bicycle locks and cables
• Bicycle tires/tubes
• Bicycle patch kits
• Bicycle tire pumps
• Bicycle lubricants
• Bicycle repair tools
• Bicycle lights
• Water bottles and/or bottle cages
• Chalk and chalk marking sticks
• Safety vests
• Safety cones
• Barriers/fences for safe cycle or pedestrian traffic flow Design Specifications
If the TCC Project is not on state-owned right-of-way, the project must be constructed in accordance with the Local Assistance Procedures Manual, Chapter 11.2 Design Guidance for Local Assistance Projects, New and Reconstruction Projects design standards for local agency streets and roads, incorporated here by this reference.
Training and Educational Projects
i. Procured equipment, including bicycles and helmets, may be purchased for training and educational purposes as described in Exhibit B: Budget and Schedule of Deliverables throughout the Project Completion Period.
a. Equipment items must be within the cost limits per Exhibit A, Section 13.
Payment Provisions.
272
EXHIBIT B – BUDGET AND SCHEDULE OF DELIVERABLES
b. Equipment items must be kept and used beyond the life of the project as part of a sustainable active transportation program, per Exhibit A, Section 29. Ownership. ii. Pedestrian and bicycle related educational safety materials purchased must be used for educational purposes and compensation for program participation, but not as incentives purchased for raffles, promotions, giveaways, or other similarly intended uses. 273
For the Contract between the City of
Richmond and
EXHIBIT B
PAYMENT PROVISIONS
{PLEASE NOTE THAT THE CITY OF RICHMOND SHALL NOT PAY FOR SERVICES
THAT EXCEED THE CONTRACT PA YMENT LIMIT UNLESS A CONTRACT
AMENDMENT HAS BEEN APPROVED BY THE CITY COUNCIL OR THE CITY MANAGER}
1. Provided Contractor is not in default under this Contract, Contractor shall be compensated as provided below.
2. Any and all payments made pursuant to this Contract shall be subject to the Contract Payment Limit. The Payment Limit includes expenses (phones, photo copying, meals and travel etc). Invoices, shall be adequately detailed, based on accurate records, and be in a form reasonably satisfactory to the City. Contractor may be required to provide back-up material upon request.
3. Contractor shall submit timely invoices to the following address:
Attention: City of Richmond, Finance Department - Accounts Payable Project Manager: Department:
PO Box 4046
Richmond, CA 94804-0046
4. All invoices that are submitted by Contra ctor shall be subject to the approval of the City’s Project Manager, before payments shall be authorized.
5. The City will pay invoice(s) within 45 days a fter completion of services to the City’s satisfaction. The City shall not pay late fees or interest.
6. A Richmond business license shall be obtained before any payment under this Contract shall be authorized and the business license must be kept current during the term of this Contract for payments to continue to be authorized.
7. All insurance coverage required by this Contract shall be provided by the Contractor before this Contract shall be executed by the City. The insurance coverage must be kept current during the term of this Contract for payments to continue to be authorized. 274
For the Contract between the City of
Richmond and
EXHIBIT C
AUTHORIZED REPRESENTATIVES AND NOTICES
1. Notices
. All notices, demands, statements, or communications provided for by this Contract shall be in writing and may be delivered by deposit in the United States mail, postage prepaid. Notices to the City shall be addressed to the Department Head and (as delineated below in section 1.1) to the project manager responsible for the administration of or the supervision of the scope of work under this Contract. Notices to the Contractor shall be addressed to the party designated by Contractor (as delineated below in section 1.2). Notice shall be deemed delivered (a) upon personal delivery; (b) as of the fifth business day after mailing by United States certified mail, postage prepaid, addressed to the proper party; or (c) as of 12:00 p.m. on the second business day immediately after the day it is deposited with and accepted by Federal Express, or a similar overnight courier service, addressed to the proper party and marked for next business day morning delivery. For the purposes of this Contract, a "business day" means any day Monday through Friday that is not a holiday recognized by the federal government or the State of California.
1. 1 CITY hereby designates as its Authorized Representative the Project Manager whose name and address are as follows:
City of Richmond
Richmond, CA 94804-0046
1. 2 CONTRACTOR hereby designates as its Authorized Representative the Project Manager whose name and address are as follows:
275
General Conditions/EJ/TE 01-19-11 1 of 13
EXHIBIT D
GENERAL CONDITIONS
1. Independent Contractor . Contractor acknowledges, represents and warrants that Contractor is not a regular or temporary employee, joint venturer or partner of the City, but rather an independent Contractor. This Contract shall not be construed to create an agency, servant, employee, partnership, or joint venture relationship. As an independent Contractor, Contractor shall have no authority to bind City to any obligation or to act as City's agent except as expressly provided herein. Due to the independent Contractor relationship created by this Contract, City shall not withhold state or federal income taxes, the reporting of which shall be Contractor's sole responsibility.
2. Brokers . Contractor acknowledges, represents and warrants that Contractor has not hired, retained or agreed to pay any entity or person any fee, commission, percentage, gift, or any other consideration, contingent upon or resulting from the award or making of this Contract.
3. City Property . The rights to applicable plans, drawings, reports, calculations, data, specifications, videos, graphics or other materials prepared for or obtained pursuant to this Contract, which, upon request, are to be delivered to City within a reasonable time, shall be deemed assigned to City. If applicable, Contractor shall prepare check prints upon request. Notwithstanding the foregoing, Contractor shall not be obligated to provide to City proprietary software or data which Contractor has developed or had developed for Contractor's own use; provided, however, that Contractor shall, pursuant to Section 15 below, indemnify, defend and hold harmless City from and against any discovery or Public Records Act request seeking the disclosure of such proprietary software or data.
4. Patents, Trademarks, Copyrights and Rights in Data
. Contractor shall not
publish or transfer any materials, discoveries, developments, concepts, designs, ideas, know how, improvements, inventions and/or original works of authorship resulting from activities supported by this Contract without the express prior written consent of the City Manager. If anything resulting from activities supported by this Contract is patentable, trademarkable, copyrightable or otherwise legally protectable, City reserves the exclusive right to seek such intellectual property rights. Notwithstanding the foregoing, Contractor may, after receiving City's prior written consent, seek patent, trademark, copyright or other intellectual property rights on anything resulting from activities supported by this Contract. However, City reserves, and Contractor irrevocably grants, a nonexclusive, fully paid-up, royalty-free, assumable, perpetual, worldwide license, with the right to transfer, sublicense, practice and exploit said license and the right to make, have made, copy, modify, make derivative works of, use, sell, 276
General Conditions/EJ/TE 01-19-11 2 of 13
import, and otherwise distribute under all applicable intellectual properties without restriction of any kind said license.
Contractor further agrees to assist City, at City's expense, in every proper way to secure the City’s rights in any patents, trademarks, copyrights or other intellectual property rights relating thereto, including the disclosure to City of all pertinent information and data with respect thereto. Contractor shall also assist City in the execution of all applications, specifications, oaths, assignments, recordations, and all other instruments which City shall deem necessary in order to apply for, obtain, maintain and transfer such rights, or if not transferable, to waive such rights. Contractor shall further assist City in the execution of all applications, specifications, oaths, assignments, recordations and all other instruments which City shall deem necessary in order to assign and convey to City, and any assigns and nominees the sole and exclusive right, title and interest in and to any patents, trademarks, copyrights or other intellectual property rights relating thereto. Contractor further agrees that its obligation to execute or cause to be executed, when it is in Contractor's power to do so, any such instruments or papers shall continue during and at all times after the end of Contractor's services and until the expiration of the last such intellectual property right. Contractor hereby irrevocably designates and appoints City, and its duly authorized officers, agents and servants, as its agent and attorney-in-fact, to act for and in its behalf and stead to execute and file any such applications and to do all other lawfully permitted acts to further the application for, prosecution, issuance, maintenance or transfer of letters of patents, copyright and other registrations. This power of attorney is coupled with an interest and shall not be affected by Contractor's subsequent incapacity.
5. Inspection
. Contractor's performance, place of business and records pertaining to this Contract are subject to monitoring, inspection, review and audit by authorized representatives of the CITY, the State of California, and the United States Government.
If the project or services set forth in Exhibit A shall be performed on City or other public property, City shall have the right to inspect such work without notice. If such project or services shall not be performed on City or other public property, City shall have the right to inspect such work upon reasonable notice.
6. Services
. The project or services set forth in Exhibit A shall be performed to the full satisfaction and approval of City. In the event that the project or services set forth in Exhibit A are also itemized by price, City, in its sole discretion, may, upon notice to Contractor, delete certain items or services set forth in Exhibit A, in which case there shall be a corresponding reduction in the amount of compensation paid to Contractor. 277
General Conditions/EJ/TE 01-19-11 3 of 13
Contractor shall, at its own cost and expense, furnish all facilities and equipment necessary for Contractor to complete the project or perform the services required herein, unless otherwise provided in Exhibit A.
7. Records . Contractor shall keep and make available for inspection and copying by authorized representatives of the City, the State of California, and the United States Government, the Contractor's regular business records and such additional records pertaining to this Contract as may be required by the City.
Contractor shall retain all documents pertaining to this Contract for a period of five (5) years after this C ontract's termination (or for any further period that is required by law) and until all Fede ral or State audits are complete and exceptions resolved for this contract's funding period. Upon request, CONTRACTOR shall make thes e records available to authorized representatives of the CITY, the State of California, and the United States Government.
Contractor shall keep full and detailed accounts, maintain records, and exercise such controls as may be necessary for proper financial management under this Contract. The Contractor’s accounting and control systems shall be satisfactory to City. Contractor's accounting systems shall conform to generally accepted accounting principles and all records shall provide a breakdown of total costs charged under this Contract, including properly executed payrolls, time records, utility bills, invoices and vouchers. The City shall be afforded prompt access to Contractor's records, books, and Contractor shall preserve such project records for a period of at least five (5 years after the termination of this Contract , or for such longer period as may be required by law.
Contractor shall permit City and its authorized representatives and accountants to inspect, examine and copy Contractor's books, records, accounts, correspondence, instructions, drawings, receipts, subcontracts, purchase orders, vouchers, memoranda and other data relating to the project or services set forth in Exhibit A, and any and all data relevant to this Contract at any reasonable time for the purpose of auditing and verifying statements, invoices, or bills submitted by Contractor pursuant to this Contract and shall provide such assistance as may be reasonably required in the course of such inspection. Contractor shall also allow City access to the record keeping and accounting personnel of Contractor.
City further reserves the right to examine and re-examine said books, records, accounts, and data during the five (5 year period following the termination of this Contract; and Contractor shall in no event dispose of, destroy, alter, or mutilate said books, records, accounts, and data in any manner whatever for five (5 years after the termination of this Contract. 278
General Conditions/EJ/TE 01-19-11 4 of 13
Pursuant to California Government Code § 10527, the parties to this Contract shall be subject to the examination and audit of representatives of the Auditor General of the State of California for a period of three (3) years after final payment under this Contract. The examination and audit shall be confined to those matters connected with the performance of this Contract including, but not limited to, the cost of administering this Contract.
8. Changes and Extra Work . All changes and/or extra work under this Contract shall be performed and paid for in accordance with the following:
Only the City Council or the City Manager may authorize extra and/or changed work. Contractor expressly recognizes that other City personnel are without authorization to either order extra and/or changed work or waive contract requirements. Failure of Contractor to secure the authorization for such extra and/or changed work shall constitute a waiver of any and all right to adjustment in contract price due to such unauthorized work and Contractor thereafter shall be entitled to no compensation whatsoever for performance of such extra and/or changed work.
If Contractor is of the opinion that any work which Contractor has been directed to perform is beyond the scope of this Contract and constitutes extra work, Contractor shall promptly notify City of the fact. The City shall make a determination as to whether or not such work is, in fact, beyond the scope of this Contract and constitutes extra work. In the event that City determines that such work does constitute extra work, City shall provide extra compensation to Contractor on a fair and equitable basis. A change order or Contract Amendment providing for such compensation for extra work shall be negotiated between City and Contractor and executed by Contractor and the appropriate City official.
In the event City determines that such work does not constitute extra work, Contractor shall not be paid extra compensation above that provided herein and if such determination is made by City staff, said determination may be appealed to the City Council; provided, however, a written appeal must be submitted to the City Manager within five (5) days after the staff's determination is sent to Contractor. Said written appeal shall include a description of each and every ground upon which Contractor challenges the staff's determination.
9. Additional Assistance
. If this Contract requires Contractor to prepare
plans and specifications, Contractor shall provide assistance as necessary to resolve any questions regarding such plans and specifications that may arise during the period of advertising for bids, and Contractor shall issue 279
General Conditions/EJ/TE 01-19-11 5 of 13
any necessary addenda to the plans and specifications as requested. In the event Contractor is of the opinion that City's requests for addenda and assistance is outside the scope of normal services, the parties shall proceed in accordance with the changes and extra work provisions of Section 8 of these General Conditions.
10. Professional Ability. Contractor acknowledges, represents and warrants that Contractor and its employees are skilled and able to competently provide the services hereunder, and possess all professional licenses, certifications, and approvals necessary to engage in their occupations.
City has relied upon the professional ability and training of Contractor as a material inducement to enter into this Contract. Contractor shall perform in accordance with generally accepted professional practices and standards of Contractor's profession. In the event that City, in its sole discretion, desires the removal of any person employed or retained by Contractor to perform services hereunder, such person shall be removed immediately upon receiving notice from City.
11. Business License
. Contractor shall obtain a Richmond Business License
before performing any services required under this Contract. The failure to so obtain such license shall be a material breach of this Contract and grounds for immediate termination by City; provided, however, that City may waive the business license requirement in writing under unusual or extraordinary circumstances without necessitating any modification of this Contract to reflect such waiver.
12. Termination Without Default
. Notwithstanding any provision herein to the
contrary, City may, in its sole and absolute discretion and without cause, terminate this Contract at any time prior to completion by Contractor of the project or services hereunder, immediately upon written notice to Contractor. Contractor may terminate this Contract at any time in its sole and absolute discretion and without cause upon 30 days' written notice to City. In the event of termination by either party, Contractor shall be compensated for: (1) all authorized work satisfactorily performed prior to the effective date of termination; (2) necessary materials or services of others ordered by Contractor for this Contract, prior to receipt of notice of termination, irrespective of whether such materials or services of others have actually been delivered, provided that Contractor is not able to cancel such orders. Compensation for Contractor in such event shall be determined by City in accordance with the percentage of the project or services completed by Contractor; and all of Contractor's finished or unfinished work product through the time of the City's last payment shall be transferred and assigned to City. Additionally, in the event of such termination, the City may proceed with the work in any reasonable manner it chooses.
280
General Conditions/EJ/TE 01-19-11 6 of 13
13. Termination in the Event of Default. Should Contractor fail to perform any of its obligations hereunder, within the time and in the manner provided or otherwise violate any of the terms of this Contract, City may immediately terminate this Contract by giving written notice of such termination, stating the reasons for such termination. Contractor shall be compensated as provided in Section 12 of these General Conditions; provided, however, there shall be deducted from such amount the amount of damage, including attorney's fees, expert witness fees and costs, if any, sustained by City by virtue of Contractor's breach of this Contract. Additionally, in the event of such termination, the City may proceed with the work in any reasonable manner it chooses.
14. Conflict of Interest. Contractor acknowledges, represents and warrants that Contractor shall avoid all conflicts of interest (as defined under any federal, state or local statute, rule or regulation, or at common law) with respect to this Contract. Contractor further acknowledges, represents and warrants that no City official or employee has any economic interest, as defined in Title 2, California Code of Regulations §§ 18703.1 through 18703.5, with Contractor that would invalidate this Contract. Contractor acknowledges that in the event that Contractor shall be found by any judicial or administrative body to have any conflict of interest (as defined above) with respect to this Contract, all consideration received under this Contract shall be forfeited and returned to City forthwith. This provision shall survive the termination of this Contract for one (1) year.
15. Indemnification
.
(a) If this Contract is a contract for design professional services subject to California Civil Code Section 2782.8(a) and Contractor is a design professional, as defined in California Civil Code Section 2782.8(b)(2), Contractor shall hold harmless, defend and indemnify the City, its officers, agents, employees, and volunteers from and against any and all claims, damages, losses, and expenses including attorneys’ fees arising out of, or pertaining to, or relating to the negligence, recklessness, or willful misconduct of the Contractor, except where caused by the active negligence, sole negligence, or willful misconduct of the City. To the fullest extent permitted by law, Contractor shall immediately defend and indemnify the City and its officers, agents, employees, and volunteers from and against any and all liabilities, regardless of nature or type, that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Contractor, or its employees, agents, or subcontractors.
Liabilities subject to the duties to defend and indemnify include, without limitation, any and all claims, losses, damages, penalties, fines, and judgments; associated investigation and administrative expenses; defense costs, including but not limited to reasonable attorneys’ fees; court costs; and costs of alternative dispute resolution. Contractor’s obligation to 281
General Conditions/EJ/TE 01-19-11 7 of 13
indemnify applies unless it is finally adjudicated that the liability was caused by the sole active negligence or sole willful misconduct of an indemnified party.
(b) If this Contract is not a contract for design professional services subject to California Civil Code Section 2782.8(a) or Contractor is not a design professional as defined in California Civil Code Section 2782.8(b)(2), Contractor shall indemnify, defend, and hold harmless the City, its officers, agents, employees and volunteers from any and all claims, suits, or actions of every name, kind and description, brought forth on account of injuries to or death of any person or damage to property arising from or connected with the willful misconduct, negligent acts, errors or omissions, ultra-hazardous activities, activities giving rise to strict liability, or defects in design by Contractor or any person directly or indirectly employed by, or acting as, the agent for Contractor in the performance of this Contract, including the concurrent or successive passive negligence of the City, its officers, agents, employees or volunteers.
(c) It is understood that the duty of Contractor to indemnify and hold harmless includes the duty to defend as set forth in Section 2778 of the California Civil Code. Contractor shall be obligated to defend, in all legal, equitable, administrative, or special proceedings, with counsel approved by the City, the City and its officers, agents, employees, and volunteers, immediately upon tender to Contractor of the claim in any form or at any stage of an action or proceeding, whether or not liability is established. An allegation or determination that persons other than Contractor are responsible for the claim does not relieve Contractor from its separate and distinct obligation to defend under this Section 15. The obligation to defend extends through final judgment, including exhaustion of any appeals. The defense obligation includes an obligation to provide independent counsel if Contractor asserts that liability is caused in whole, or in part, by the negligence or willful misconduct of an indemnified party. (d) The review, acceptance or approval of the Contractor’s work or work product by any indemnified party shall not affect, relieve or reduce the Contractor’s indemnification or defense obligations. This Section 15 survives completion of the services or the termination of this Contract.
The provisions of this Section 15 are not limited by, and do not affect, the provisions of this Contract relating to insurance.
(e) Acceptance of insurance certificates and endorsements required under this Contract does not relieve Contractor from liability under this Section
15. This Section 15 shall apply whether or not such insurance policies are determined to be applicable to any such damages or claims for damages.
16. Safety
. Contractor acknowledges that the City is committed to the highest standards of workplace safety. Contractor shall perform all work hereunder in full compliance with applicable local, state and federal safety requirements including but not limited to Occupational Safety and Health Administration requirements, and shall assume sole and complete 282
General Conditions/EJ/TE 01-19-11 8 of 13
responsibility for the safety of Contractor's employees and any subContractor's employees. If a death, serious personal injury or substantial property damage occurs in connection with the performance of this Contract, Contractor shall immediately notify the City by telephone.
17. Insurance. Insurance requirements are set forth in Exhibit F to this Contract. Contractor shall abide by the insurance requirements set forth in said Exhibit F.
18. Non-Liability of Officials and Employees of the City. No official or employee of the City shall be personally liable for any default or liability under this Contract.
19. Compliance with Laws
. Contractor shall comply with all federal, state and
local laws, statutes, ordinances, rules and regulations, and the orders and decrees of any courts or administrative bodies or tribunals, with respect to this Contract, including without limitation environmental laws, employment discrimination laws and prevailing wage laws. Compliance under this provision includes compliance with all provisions of the Richmond Municipal Code ("Municipal Code"), including Chapters 2.50, 2.52, 2.56, and 2.60, if applicable.
Contractor acknowledges that under § 2.60.070 of the Municipal Code ("Living Wage Ordinance"), Contractor shall promptly provide to City documents and information verifying its compliance with the Living Wage Ordinance. Also as prescribed in § 2.60.070, Contractor shall notify each of its affected employees with regards to the wages that are required to be paid pursuant to the Living Wage Ordinance.
Contractor shall comply with § 2.28.030 of the Municipal Code, obligating every Contractor or subcontractor under a contract or subcontract with the City for public work or for goods or for services to refrain from discriminatory employment or subcontracting practices on the basis of race, color, sex, sexual orientation, religious creed, national origin or ancestry of any employee, any applicant for employment or any potential subcontractor.
Contractor acknowledges that the City’s Drug Free Workplace Policy, Violence in the Workplace Policy and the Policy Against Workplace Harassment, are available on the City’s website at
http://www.ci.richmond.ca.us/workplacepolicies
. Contractor agrees to
abide by the terms and conditions of said policies.
20. Limitations upon Subcontracting and Assignment. This Contract binds the heirs, successors, assigns and representatives of Contractor. The Contractor shall not enter into subcontracts for any work contemplated 283
General Conditions/EJ/TE 01-19-11 9 of 13
under this Contract and shall not assign this Contract, nor any portion hereof or monies due or to become due, without the prior written consent of the City Council or its designee.
Contractor acknowledges that the services which Contractor shall provide under this Contract are unique, personal services which, except as otherwise provided herein, Contractor shall not assign or sublet to any other party without the prior written approval of City, which approval may be withheld in City's sole and absolute discretion. In the event that City, in writing, approves any assignment or subletting of this Contract or the retention of subcontractors by Contractor, Contractor shall provide to City upon request copies of each and every subcontract contract prior to the execution thereof by Contractor and subcontractor. Any assignment by Contractor of any or all of its rights under this Contract without first obtaining City's prior written consent shall be a default under this Contract.
The sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Contractor (if applicable), or of the interest of any general partner or joint venturer or syndicate member if Contractor is a partnership or joint-venture or syndicate, which shall result in a change of control of Contractor, shall be deemed an assignment. For this purpose, control shall mean fifty percent or more of the voting power or twenty-five percent or more of the assets of the corporation, partnership or joint-venture.
21. Integration
. This Contract constitutes the entire agreement between the parties concerning the subject matter hereof and supersedes any previous oral or written agreement; provided, however, that correspondence or documents exchanged between Contractor and City may be used to assist in the interpretation of the Exhibits to this Contract.
22. Modifications and Amendments. This Contract may be modified or amended only by a change order or Contract Amendment executed by both parties and approved as to form by the City Attorney.
23. Conflicting Provisions. In the event of a conflict between these General Conditions and those of any Exhibit or attachment hereto, these General Conditions shall prevail; provided, however, that any Special Conditions as set forth in Exhibit E shall prevail over these General Conditions. In the event of a conflict between the terms and conditions of any two or more Exhibits or attachments hereto, those prepared by City shall prevail over those prepared by the Contractor, and the terms and conditions preferred by the City shall prevail over those preferred by the Contractor.
24. Non-exclusivity. Notwithstanding any provision herein to the contrary, the services provided by Contractor hereunder shall be non-exclusive, and 284
General Conditions/EJ/TE 01-19-11 10 of 13
City reserves the right to employ other Contractors in connection with the project.
25. Exhibits. All Exhibits hereto are made a part hereof and incorporated herein by reference; provided, however, that any language in Exhibit A which does not pertain to the project description, proposal, scope of services, or method of compensation (as applicable) , or any corresponding responsibilities of City, shall be deemed extraneous to, and not a part of, this Contract.
26. Force Majeure. Neither party hereto shall be considered in default in the performance of its obligations hereunder to the extent that the performance of such an obligation is prevented or delayed by reason of acts of God, strikes, boycotts, lock-outs, inability to procure materials not related to the price thereof, failure of power, restrictive governmental laws and regulations enacted after the date of this Contract, riots, civil unrest, acts of terrorism, insurrection, war, declaration of a state or national emergency or other reasons of a like nature not within the reasonable control of such party.
27. Time of the Essence
. Time is of the essence of this Contract. Contractor and City agree that any time period set forth in Exhibit A represents their best estimates with respect to completion dates and both Contractor and City acknowledge that departures from the schedule may occur.
Therefore, both Contractor and City will use reasonable efforts to notify one another of changes to the schedule. Contractor shall not be responsible for performance delays caused by others, or delays beyond Contractor's control, and such delays shall extend the times for performance of Contractor's work.
28. Confidentiality
. Contractor agrees to comply with, and to require its employees, agents and partners to comply with, all applicable State or Federal statutes or regulations respecting confidentially, including but not limited to, the identity of persons served under this Contract, their records, or services provided them, and assures that:
All applications and records concerning any individual made or kept by Contractor or any public officer or agency in connection with the administration of or relating to services provided under this Contract will be confidential, and will not be open to examination for any purposes not directly connected with the administration of such service.
No person will publish or disclose or permit or cause to be published or disclosed, any list of persons receiving services, except as may be required in the administration of such service.
285
General Conditions/EJ/TE 01-19-11 11 of 13
29. Third Parties. Nothing herein shall be interpreted as creating any rights or benefits in any third parties. For purposes hereof, transferees or assignees as permitted under this Contract shall not be considered "third parties."
30. Governing Law. This Contract shall be construed in accordance with the law of the State of California without regard to principles of conflicts of law.
This Contract is made in Contra Costa County, California, and any action relating to this Contract shall be instituted and prosecuted in the courts of Contra Costa County, California.
31. Nonrenewal
. Contractor understands and agrees that there is no
representation, implication, or understanding that the services provided by Contractor under this Contract will be purchased or renewed by the City under a new contract following expiration or termination of this Contract, and waives all rights or claims to notice or hearing respecting any failure by City to continue the purchase of all or any failure to continue purchase of all or any such services from Contractor.
32. Claims. Any claim by Contractor against City hereunder shall be subject to Government Code §§ 800 et seq. The claims presentation provisions of said Act are hereby modified such that the presentation of all claims hereunder to the City shall be waived if not made within six months after accrual of the cause of action.
33. Interpretation. This Contract shall be interpreted as if drafted by both parties.
34. Warranty. In the event that any product shall be provided to the City as part of this Contract, Contractor warrants as follows: Contractor possesses good title to the product and the right to transfer the product to City; the product shall be delivered to the City free from any security interest or other lien; the product meets any specifications contained herein; the product shall be free from material defects in materials and workmanship under normal use for a period of one (1) year from the date of delivery; and the product shall be fit for its intended purpose(s). Notwithstanding the foregoing, consumable and maintenance items (such as light bulbs and batteries) shall be warranted for a period of one hundred and eighty (180) days from the date of delivery. All repairs during the warranty period shall be promptly performed by Contractor, at Contractor's expense, including shipping.
35. Severability
. In the event that any of the provisions or portions or applications thereof of this Contract are held to be unenforceable or invalid by any court of competent jurisdiction, City and Contractor shall negotiate an equitable adjustment in the provisions of the Contract with a view 286
General Conditions/EJ/TE 01-19-11 12 of 13
toward effecting the purpose of this Contract, and the validity and enforceability of the remaining provisions or portions or applications thereof, shall not be affected thereby.
36. Authority. City warrants and represents that the signatory hereto (the Mayor of the City of Richmond or the City Manager) is duly authorized to enter into and execute this Contract on behalf of City. The party signing on behalf of Contractor warrants and represents that he or she is duly authorized to enter into and execute this Contract on behalf of Contractor, and shall be personally liable to City if he or she is not duly authorized to enter into and execute this Contract on behalf of Contractor.
37. Waiver. The waiver by City of any breach of any term or provision of this Contract shall not be construed as a waiver of any subsequent breach.
Inspections or approvals, or statements by any officer, agent or employee of the City relating to the Contractor’s performance, or payments therefore, or any combination of these acts, shall not relieve the Contractor’s obligation to fulfill this Contract as prescribed; nor shall the City be thereby stopped from bringing any action for damages or enforcement arising from any failure to comply with any of the terms and conditions of this Contract.
38. Possessory Interest. If this Contract results in the Contractor having possession of, claim to or right to the possession of land or improvements, but does not vest ownership of the land or improvements in the same person, or if this Contract results in the placement of taxable improvements on tax exempt land (Revenue and Taxation Code 107), such interest or improvements may represent a possessory interest subject to property tax, and Contractor may be subject to the payment of property taxes levied on such interest.
39. Performance and Final Acceptance
.
Contractor represents that it is experienced, qualified, registered, licensed, equipped, organized and financed to perform the services under this Contract.
Contractor shall perform the services under this Contract with that degree of skill and judgment normally exercised by professional firms performing services of a similar nature in the State of California, and shall be responsible for the professional quality, technical accuracy and coordination of the services it performs under this Contract. In addition to the other rights and remedies which City may have, Contractor shall, at its own expense, correct any services which fail to meet the above standard.
287
General Conditions/EJ/TE 01-19-11 13 of 13
City shall provide Contractor an opportunity to cure errors and omission which may be disclosed during the review of submittals, with no increase in the authorized Contract Payment Limit. Should Contractor fail to make necessary corrections in a timely manner, such corrections shall be made by the City and the cost thereof shall be charged to Contractor.
If warranted, City shall determine, and Contractor may request such determination, that Contractor has satisfactorily completed performance of this Contract. Upon such determination, City shall issue to Contractor a written Notice of Final Acceptance, after which Contractor shall not incur further costs under this Contract. Contractor shall respond to such Notice of Final Acceptance by executing and submitting to City a Release and Certificate of Final Payment.
40. Survival. The rights and obligations of the parties which by their nature survive termination or completion of the services covered by this Contract shall remain in full force and effect after termination or completion. 288
For the Contract between the City of
Richmond and
EXHIBIT E
SPECIAL CONDITIONS
The General Conditions are hereby amended to include the following modifications and/or provisions (if applicable):
289
For the Contract between the City of
Richmond and
EXHIBIT F
INSURANCE PROVISIONS
During the entire term of this Contract and any extension or modification thereof, the CONTRACTOR shall keep in effect insurance policies meeting the insurance requirements specified in the insurance provisions which are attached hereto and incorporated herein by this reference.
290
___ Exhibit F
___ Section 8
City of Richmond - Insurance Requirements - Type 2:
Professional Services
Type 2 – Page 1 of 3
Revised: September 2011
In all instances where CONTRACTOR or its representatives will provide professional services (architects, engineers, construction management, counselors, medical professionals, hospitals, clinics, attorneys, consultants, accountants, etc.) to the City of Richmond (City), the City requires the following MINIMUM insurance requirements and limits.
CONTRACTOR shall procure and maintain for the duration of the contract, agreement, or other order for work, services or supplies, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the CONTRACTOR, its agents, representatives, employees or subcontractors. Maintenance of proper insurance coverage is a material element of the contract. Failure to maintain or renew coverage or to provide evidence of renewal may be treated by the City as a material breach of contract.
CONTRACTOR agrees that in the event of loss due to any of the perils for which it has agreed to provide Commercial General Liability insurance, CONTRACTOR shall look solely to its insurance for recovery.
CONTRACTOR hereby grants to CITY, on behalf of any insurer providing Commercial General Liability insurance to either CONTRACTOR or CITY with respect to the services of CONSULTANT herein, a waiver of any right to subrogation which any such insurer of said CONTRACTOR may acquire against the CITY by virtue of the payment of any loss under such insurance.
Original, signed certificates and original, separate policy endorsements, naming the City as an additional insured for general liability coverage, as well as a waiver of subrogation for Workers’ Compensation insurance, shall be received and approved by the City before any work may begin. However, failure to do so shall not operate as a waiver of these insurance requirements.
City reserves the right to modify or require additional coverages for specific risk exposures depending on scope of CONTRACTORS work.
Minimum coverage is detailed below. The policy limits of coverage shall be made available to the full limits of the policy. The minimum limits stated herein shall not serve to reduce the policy limits of coverage of CONTRACTOR.
Minimum Scope of Insurance – the following forms shall be provided and coverage shall be at least as broad as the following:
1. Insurance Services Office Commercial General Liability coverage (ISO Occurrence Form CG 0001), and including coverage for bodily and personal injury, property damage, and products and completed operations (if applicable).
2. Insurance Services Office Automobile Liability coverage (ISO Form CA 0001, Code 1, Any Auto).
3. Original and Separate Additional Insured Endorsement for General Liability (ISO Form CG 20 10 11/85 or its equivalent) with primary and non-contributory language.
4. Workers’ Compensation Insurance as required by the State of California including Employer’s Liability coverage.
5. Original and Separate Waiver of Subrogation for Workers’ Compensation insurance.
6. Professional Liability or Errors & Omissions Liability Insurance appropriate to the CONTRACTOR’s profession (if required.)
Required Coverage Minimum Limits
Workers’ Compensation and
Employers’ Liability
Statutory limits as required by the State of California including $1 million Employers’ Liability per accident, per employee for bodily injury or disease.
If CONTRACTOR
is self-insured, provide a certificate of Permission to Self- Insure, signed by the California Department of Industrial Relations and Self- Insurance. If contractor is a sole proprietor (has no employees) than contractor must sign “Contractor Release of Liability” found at:
http://www.ci.richmond.ca.us/index.aspx?nid=61.
General Liability
(primary and excess limits
combined)
$2,000,000 per occurrence for bodily injury, personal injury and property damage. If the policy includes a general aggregate, either the general aggregate shall apply separately to this project, service or location or the minimum required aggregate limit shall be twice the per occurrence limit ($4 million aggregate limit).
Policy shall be endorsed to name the City of Richmond as an additional insured per the conditions detailed below.
291
___ Exhibit F
___ Section 8
City of Richmond - Insurance Requirements - Type 2:
Professional Services
Type 2 – Page 2 of 3
Revised: September 2011
Automobile Liability $1,000,000 per occurrence for bodily injury and property damage.
PROJECT COST R EQUIRED LIMIT
$0 - $1 million $1 million p/o
$1 million - $5 million $2 million p/o
Over $5 million $5 million p/o
Professional Liability or Errors &
Omissions Liability –
Required for all professionals
including architects, engineers,
consultants, construction
management, counselors, medical
professionals, hospitals, clinics,
attorneys and accountants, & other
consultants as may be required by
the City.
Required Policy Conditions
Additional Insured Endorsement
Applicable to General Liability coverage.
The City of Richmond, its officers, officials, employees, agents and volunteers are to be named as additional insureds for all liability arising out of the operations by or on behalf of the named insured including bodily injury, deaths and property damage or destruction arising in any respect directly or indirectly in the performance of this contract.
ISO form CG 20 10 (11/85) or its equivalent is required. If the Contractor is supplying their product or providing a service then the endorsement must not
exclude products and completed operations
coverage. If it does, then CG 20 37 (10/01) is also required.
SAMPLE Endorsements can be found at
http://www.ci.richmond.ca.us/index.aspx?nid=61
.
Primary and Noncontributory The contractor’s insurance coverage must be primary coverage as it pertains to the City, its officers, officials, employees, agents and volunteers. Any insurance or self insurance maintained by the City is wholly separate from the insurance of the contractor and in no way relieves the contractor from its responsibility to provide insurance.
Waiver of Subrogation
Endorsement Form
Contractor’s insurer will provide a Waiver of Subrogation in favor of the City for Workers’ Compensation Insurance during the life of this contract.
SAMPLE Endorsements can be found at
http://www.ci.richmond.ca.us/index.aspx?nid=61.
Deductibles and Self-Insured
Retentions
Any deductible or self-insured retention must be declared to and approved by the City. At the option of the City either the insurer shall reduce or eliminate such deductibles or self-insured retention as respects the City or the CONTRACTOR shall procure a financial guarantee in an amount equal to the deductible or self-insured retention guaranteeing payment of losses and related investigations, claims administration and defense expenses.
Contractor is responsible for satisfaction of the deductible and/or self-insured retention for each loss.
A. M. Best Rating A:VII or Better. If the A.M. Best Rating falls below the required rating, CONTRACTOR must replace coverage immediately and provide notice to City.
Umbrella/Excess Liability Policies
If an Umbrella or Excess Liability Policy is used to meet the liability limits, coverage shall be as broad as specified for underlying coverage’s and cover those insured in the underlying policies.
292
___ Exhibit F
___ Section 8
City of Richmond - Insurance Requirements - Type 2:
Professional Services
Type 2 – Page 3 of 3
Revised: September 2011
Claims-Made Policies
If any insurance policy is written on a claims-made form: 1) the retroactive date must be shown, and must be before the date of the contract or the beginning of contract work. 2) Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work. 3) If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a retroactive date prior to the contract effective date, the Contractor must purchase an extended period coverage for a minimum of five (5) years after completion of contract work.
Subcontractors
CONTRACTOR
shall include all subcontractors as insured under its policies or shall furnish to the City for review and approval, separate certificates and endorsements for each subcontractor. All coverage for subcontractors shall be subject to all of the requirements stated herein.
CONTRACTOR agrees to defend and indemnify the City of Richmond for any damage resulting to it from failure of either CONTRACTOR or any subcontractor to take out or maintain the required insurance policies.
The fact that
insurance is obtained by CONTRACTOR, and/or CONTRACTOR’s subcontractors, will not be deemed to release or diminish the liability of CONTRACTOR, including, without limitation, liability under the indemnity provisions of this contract. Damages recoverable by CITY from CONTRACTOR or any third party will not be limited by the amount of the required insurance coverage.
Verification of Coverage
All original certificates and endorsements shall be received and approved by the City before work may begin .
The City of Richmond reserves the right to require complete, certified copies of all required insurance policies including endorsements affecting the coverage at any time.
Original insurance certificates and required policy endorsements shall be mailed or delivered to the Designated Project Manager for the City of Richmond.
Insurance certificates and endorsements may be faxed to the Designated Project Manger. However, CONTRACTOR must mail the original certificates and endorsements to Designated Project Manager once faxed.
Continuous Coverage
CONTRACTOR shall maintain the required insurance for the life of the contract. Should the CONTRACTOR cease to have insurance as required during this time, all work by the CONTRACTOR pursuant to this agreement shall cease until insurance acceptable to the City is provided. In the event that CONTRACTOR fails to comply with the City’s insurance requirements, the City may take such action as it deems necessary to protect the City’s interests. Such action may include but is not limited to termination of the contract, withholding of payments, or other actions as the City deems appropriate.
If services or the scope of work extend beyond the expiration dates of the required insurance policies initially approved by the City, CONTRACTOR must provide updated certificates and endorsements indicating that the required coverage, terms and conditions are still in place. Renewal certificates and updated endorsements shall be mailed to the Designated Project Manager.
Cancellation
CONTRACTOR shall ensure that coverage shall not be cancelled, reduced or otherwise materially changed except after thirty (30) days’ prior written notice has been given to the City.
Reporting Requirements
Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the City, its officers, officials, employees or volunteers.
Consistent with Public Policy
The insuring provisions, insofar as they may be judged to be against public policy shall be void and unenforceable only to the minimum extent necessary so that the remaining terms and provisions herein may be consistent with public policy and thus enforceable.
293
OP ID: RB
ACORD " CERTIFICATE OF LIABILITY INSURANCE I
DATE (MM/DD/YYYY)
~ 04/03/2023
THIS CERTIFICATE IS ISSUED AS A MATIER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).
PRODUCER CONTACT
NAME:
R.A. Storelee Insurance Agency PHONE I FAX
Rob Storelee IAIC No Extl: IAJC Nol:
321 First Street Suite 201 E·MAIL
ADDRESS:
Benicia, CA 94510 ~n~~~~~~ ID#: OLIVE-2 Robert A. Storelee INSURERISl AFFORDING COVERAGE NAIC#
INSURED Oliver's Tow, Inc. INSURER A: Accredited Suretv and Casualty 26379 PO Box 20663 INSURER B :
El Sobrante, CA 94820
INSURERC :
INSURER D :
INSURER E:
INSURER F:
COVERAGES CERTIFICATE NUMBER· REVISION NUMBER·
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT , TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN , THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS , EXCLUSIONS AND CONDITIONS OF SUCH POLICIES . LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS .
INSR
, ~.
POLICY EFF
l~~~~i"l'v~Vv1 LTR TYPE OF INSURANCE ... ~D l ~ft·~ POLICY NUMBER IMM/DDNYYYI LIMITS GENERAL LIABILITY EACH OCCURRENCE $ 1,000,00C -
A x COMMERCIAL GENERAL LIABILITY x 1 TIS CA 19 01257180-02 11/28/2022 11/28/2023 DAMAGE TO REN I t:U 100,00C PREMISES 'Ea occurrence I $
I CLAIMS-MADE [!] OCCUR MED EXP (Any one person) $ 5,000 A x Contractual Liab. PERSONAL & ADV INJURY $ 1,000,000 -
GENERALAGGREGATE $ 2,000,000
f---
GEN'L AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP/OP AGG $ 2,000,000 1 POLICY n ~~P.-r n LOC $
AUTOMOBILE LIABILITY x COMBINED SINGLE LIMIT $ 1,000,000 - (Ea accident) ANY AUTO BODILY INJURY (Per person) - $
ALL OWNED AUTOS BODILY INJURY (Per accident) f-- $
A x SCHEDULED AUTOS 1 TIS CA 19 01257180-02 11/28/2022 11/28/2023 f-- PROPERTY DAMAGE $
x HIRED AUTOS (PER ACCIDENT}
f--
x NON-OWNED AUTOS $
f--
$
UMBRELLA LIAB H OCCUR EACH OCCURRENCE $
f--
EXCESS LIAB CLAIMS-MADE AGGREGATE $
f--- DEDUCTIBLE $
RETENTION $ $
WORKERS COMPENSATION I T~~.H~Jg;, I 1 o;r~-
AND EMPLOYERS' LIABILITY Y/N
ANY PROPRIETOR/PARTNER/EXECUTIVE D E.L. EACH ACCIDENT $ OFFICERIMEMBER EXCLUDED? N/A
(Mandatory in NH) E.L. DISEASE - EA EMPLOYEE $
~~st~f~fi~ '0~0PERAT10Ns below E.L. DISEASE - POLICY LIMIT $ A Garagekeepers 1 TIS CA 19 01257180-02 11/28/2022 11/28/2023 300,000 500/2500de<I A On Hook/Cargo 1 TIS CA 19 01257180-02 11/28/2022 11/28/2023 250,000 $1,000 Ded DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (Attach ACORD 101, Addltlonal Remarks Schedule, If more space Is required) Certificate Holder Named Additional Insured.
CERTIFICATE HOLDER CANCELLATION
RICHMPD
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
THE EXPIRATION DATE THEREOF , NOTICE WILL BE DELIVERED IN City of Richmond/
ACCORDANCE WITH THE POLICY PROVISIONS .
Richmond Police Dept.
AUTHORIZED REPRESENTATIVE
#6 13th St.
~a~
Richmond, CA 94805
I
© 1988-2009 ACORD CORPORATION. All rights reserved.
ACORD 25 (2009/09) The ACORD name and logo are registered marks of ACORD 294 POLICY NUMBER : I ITS CA 19 01257180-02 Oliver' s Tow, Inc. C OMM ERCIAL GENERAL LIABILITY THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
ADDITIONAL INSURED ENDORSEMENT - OWNERS, LESSEES OR
CONTRACTORS - (FORM B)
This endorsement modifies insurance provided under the following :
COMMERCIAL GENERAL LIABILITY COVERAGE PART.
SCHEDULE
Name of Person or Organization:
The City of Richmond , its officers, officials , employees , agents and volunteers are to be named as additional insureds for all liability arising out of the operations by or on behalf of the named insured , including but not limited to bodily injury, deaths and property damage or destruction arising in any respect directly or indirectly in the performance of this contract.
Project: ALL OPERATIONS
THE INSURANCE AS PROVIDED BY THIS POLICY IS PRIMARY AND NON-CONTRJBUTING OVER ANY OTHER VALID AND COLLECTABLE INSURANCE .
(lfno entry appears above , information required to complete this endorsement will be shown in the Declaration as applicable to this endorsement.) WHO IS AN INSURED (Section II) is amended to include as an insured the person or organization shown in the Schedule, but only with respect to liability arising out of "your work" for that insured by you.
All other Terms and Conditions of this Policy remain unchanged.
CG 20 10 10 93 Copyright , Insurance Services Office Inc. 1 92 295
296
297
298
299
300
301
302
303
304
305
306
307
308
September 12, 2023
Economic Development
DATE: September 12, 2023
TO: Mayor Martinez and Members of the City Council
FROM: Lina Velasco, Director of Community Development
Nannette Beacham, Director of Economic Development
Lizeht Zepeda, Senior Business Assistance Officer
Shané Johnson, Senior Administrative Analyst
Lilia Corral, Management Analyst
Subject:
Make Green Go, LLC Contract and SCI Consulting Group
Contract Amendment
FINANCIAL IMPACT: Make Green Go, LLC.’s contract will be funded by the $1,319,360 GO-BIZ Type II Cannabis Equity Grant
awarded by the CA Governor's Office of Business and
Economic Development (10661065-400538-36G07).
Additionally, funding in the amount of $25,000 for the SCI Consulting Group contract amendment is included in the
approved FY 2023-2024 budget (01361165-400201-
36G07).
PREVIOUS COUNCIL
ACTION:
March 1, 2022; December 7, 2021; November 21, 2021;
April 10, 2021; June 19, 2018; January 18, 2018
STATEMENT OF THE
ISSUE:
The City of Richmond, City Manager's Office, Economic
Development was awarded a $1,319,360 GO-BIZ Type-II
Cannabis Equity Grant for local jurisdictions to implement the Cannabis Equity Program. In addition, the
Community Development Department has been working
with SCI Consulting Group to amend the City’s cannabis
regulations. City staff is seeking approval of contract with Make Green Go, LLC. to provide direct technical
assistance regarding business planning and growth, as
well as regulatory compliance and application assistance AGENDA
REPORT
309
September 12, 2023
for the City’s Cannabis Equity Program, and a fifth
contract amendment with SCI Consulting Group to
support the implementation and management of the
Cannabis Equity Program.
RECOMMENDED ACTION:
APPROVE a contract with Make Green Go, LLC. in an
amount not to exceed $121,000, to provide direct
technical assistance for the City’s Cannabis Equity
Program, for a term beginning September 20, 2023, and
ending on December 31, 2025; APPROVE a fifth contract
amendment with SCI Consulting Group in an amount not
to exceed $25,000 to support the implementation and
management of the Cannabis Equity Program, for a term
ending on December 31, 2025; and AUTHORIZE the
Directors of Community Development and Economic
Development to negotiate and approve additional
scope(s) of work, if necessary, for additional amounts not to exceed $60,000, for each contract respectively –
Economic Development Department (Nannette Beacham
510-621-1306).
DISCUSSION:
Background
During the November 21, 2017, Richmond City Council meeting, councilmembers voiced their desire to develop an equity program for commercial cannabis activities.
Subsequently, on April 10, 2021, the City Council authorized staff to conduct a cannabis equity assessment and develop a local equity program. Economic Development staff worked with SCI Consulting Group to develop an Equity Assessment and Equity Manual, establishing an equity program for the City of Richmond. In order to develop the Equity Assessment and Equity Manual, SCI Consulting Group and City staff members hosted multiple community meetings. They also interviewed cannabis stakeholders (current or prospective cannabis operators, prospective equity applicants, non-cannabis private stakeholders, and local business leaders). The interviews provided an in-depth look at the current cannabis industry and provided insight into the current strengths and challenges of Richmond's cannabis industry. On December 7, 2021, the City Council adopted Resolution No.148-21, establishing a city-wide Cannabis Equity Program, including approval of the Equity Assessment and Equity Manual pursuant to the California Cannabis Equity Act of 2018 (Attachment 1).
On December 14, 2021, Economic Development staff members applied for California Governor's Office of Business and Economic Development (GO-Biz) Type II funding to implement the Cannabis Equity Program. In preparation for the application, City staff members and SCI Consulting Group prepared a budget that would support three (3) to 310
September 12, 2023
five (5) equity applicants with licensing, establishing a Cannabis business, and/or expanding an existing business. Using this as the base, and adding costs associated with City staff time, consultant support in implementation, and soliciting and acquiring contracts with technical assistance providers, the City requested $1,319,360 in Type II grant funding. On February 7, 2022, GO-Biz released a press release awarding the City of Richmond the $1,319,360, the full amount requested.
Request for Proposals (RFP)/Request for Qualifications (RFQ) On June 6, 2022, the Economic Development Department released a Request for Proposals (RFP)/Request for Qualifications (RFQ) to solicit highly qualified firms to assist the City in implementing the City of Richmond’s Cannabis Equity Program and supporting Cannabis Equity Applicants to start and grow their businesses (Attachment 2).
Key aspects of the scope of services included:
Technical Assistance Program: Preparation of business plans; the complete cycle of business formation, operations, steady growth, and planned exits; accounting practices; insurance requirements; inventory and quality control procedures; local permitting requirements; state licensing requirements; real estate assistance in finding a viable location; and review applications for completeness and accuracy.
Regulatory Compliance: Ensure cannabis equity applicants accurately and fully complete state and local cannabis applications and are fully compliant with state and local regulations. Host workshops and group training with equity applicants that cover: state and local regulatory requirements, flow chart, or check-list for businesses, cannabis license application, completion any outstanding documents, and submission of documentation to appropriate regulatory department/organization.
Legal Assistance Program: One-on-one legal consultations regarding business disputes, landlord/tenant matters, tax compliance, inventory management, compliance requirements, and similar matters. Document review and/or redlining:
letters of intent, memorandums of understanding, term sheets, lease agreements, landlord/tenant notices, incubation agreements, partnership agreements, operating agreements, bylaws, shareholder agreements, investment memos, demand letters, and similar documents.
Through the BidsOnline System, 1,574 vendors were notified of the RFP/RFQ. The RFP/RFQ closed on July 1, 2022, with five (5) responses received. All five (5) responses were scored based on evaluation criteria outlined in the RFP/RFQ, and the top two (2) firms were interviewed and ranked. Subsequently, Make Green Go, LLC. (“Make Green Go”) was selected (Attachment 3).
Based in Oakland, Make Green Go is a black-owned and woman-owned lead organization that offers culturally relevant courses through an online learning network, 311
September 12, 2023
access to an online community that allows participants to connect and collaborate, and online education through an automated platform. The firm has previously worked with cities such as Oakland, Fresno, and San Francisco in delivering services related to their respective cannabis equity programs. Make Green Go’s technical assistance methodology will provide equity applicants foundational education and training resources through innovative content creation and delivery (Attachment 4).
Contract Amendment
On January 18, 2018, the City of Richmond executed a contract with SCI Consulting Group (SCI) for $9,900 to assist the City in preparing amendments to the City’s Cannabis Ordinance to develop regulations for adult-use commercial cannabis activities, personnel cultivation, and align regulations with State law (Attachment 5).
Subsequently on June 19, 2018, the City Council approved a first contract amendment as additional resources were needed to complete the Cannabis Ordinance amendments and an associated fee study (Attachment 6). A second contract amendment was approved administratively for additional time only (Attachment 7). A third contract amendment was approved by City Council on April 20, 2021, to create a Cannabis Equity Assessment and integrate the assessment into the creation of a Cannabis Equity Ordinance (Attachment 8). A fourth contract amendment was approved by City Council on March 1, 2022, to amend the Cannabis Ordinance and prepare the application process for the Cannabis Equity Program (Attachment 9).
The City of Richmond Community Development Department currently has an ongoing contract with SCI to update the City's cannabis regulations. The proposed fifth amendment to the contract would modify the scope to support the implementation and management of the Cannabis Equity Program in collaboration with Make Green Go (Attachment 10).
The scope of work would include the following:
Technical Assistance Program Oversight and Management – SCI will collaborate with Make Green Go to develop a comprehensive and effective Technical Assistance program that is tailored to the City's unique needs. SCI will ensure that the program aligns with the City’s goals and objectives and is responsive to the needs of the community.
Management of Equity Applications and Applicants – SCI will develop and design equity application forms, assist in the launch and advertisement of the application, and review and respond to applicants. Additionally, SCI will determine eligibility and facilitate enrollment into the City's equity program. Development and Management of Grant Program – SCI will assist the City with the development and management of a grant program designed to provide direct grants and fee waivers to eligible equity applicants. SCI will design the application process, assist in the review of grant applications, and facilitate the disbursement of funds.
312
September 12, 2023
Conclusion
City staff is seeking approval of a contract with Make Green Go in an amount not to exceed $121,000, to provide direct technical assistance regarding business planning and growth, as well as regulatory compliance and application assistance, for a term beginning September 13, 2023, and ending on December 31, 2025; and a fifth contract amendment with SCI in an amount not to exceed $25,000, to support the implementation and management of the Cannabis Equity Program, for a term ending on December 31, 2025. City staff is also seeking authorization for the Directors of Community Development and Economic Development to negotiate and approve additional scope(s) of work, if necessary, for additional amounts not to exceed $60,000, for each contract respectively.
DOCUMENTS ATTACHED:
Attachment 1 – Resolution No.148-21, Equity Assessment & Equity Manual Attachment 2 – Request for Proposals (RFP)
Attachment 3 – Scoring Matrix
Attachment 4 – Make Green Go Contract
Attachment 5 – SCI Consulting Group Short Form Contract Attachment 6 – SCI Consulting Group Amendment #1
Attachment 7 – SCI Consulting Group Amendment #2
Attachment 8 – SCI Consulting Group Amendment #3
Attachment 9 – SCI Consulting Group Amendment #4
Attachment 10 – SCI Consulting Group Amendment #5
313
314
315
CITY OF RICHMOND
DRAFT CANNABIS EQUITY ASSESSMENT
O
CTOBER 2021
SCIConsultingGroup
4745
MANGELS BOULEVARD
FAIRFIELD, CALIFORNIA 94534
PHONE 707.430.4300
FAX 707.430.4319
WWW.SCI-CG.COM
Exhibt A
316
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
PAGE i
TABLE OF CONTENTS
INTRODUCTION ...................................................................................................................... 1 1 – SOCIAL EQUITY ANALYSIS ................................................................................................ 2
1.1 – METHODOLOGY ...................................................................................................... 2
1.2 – LIMITATIONS OF THE EQUITY ANALYSIS ..................................................................... 2
1.3 – CANNABIS ENFORCEMENT HISTORY ......................................................................... 2
1.4 – CITY OF RICHMOND DEMOGRAPHICS ........................................................................ 4
1.5 – CANNABIS-RELATED ARRESTS ................................................................................. 5
1.6 – CANNABIS-RELATED ARRESTS BY RACE/ETHNICITY ................................................... 6
1.7 – LOW INCOME AND MINORITY POPULATIONS ............................................................... 7
1.8 – IDENTIFICATION OF DISPROPORTIONATELY AFFECTED COMMUNITIES .......................... 8
1.9 – CONCLUSIONS REGARDING DISPROPORTIONATELY AFFECTED COMMUNITIES ............... 9 2 – BARRIERS TO ENTRY ...................................................................................................... 10
2.1 – OVERVIEW OF KEY BARRIERS ................................................................................ 10 3 – OVERVIEW OF CANNABIS-RELATED BUSINESS AND ACTIVITIES .......................................... 12
3.1 – CITY OF RICHMOND CANNABIS LEGISLATIVE HISTORY .............................................. 12
3.2 – CURRENT CANNABIS BUSINESSES .......................................................................... 12 4 – OUTREACH AND EDUCATION ........................................................................................... 13
4.1 – STAKEHOLDER INTERVIEWS ................................................................................... 13
4.2 – COMMUNITY MEETINGS ......................................................................................... 13
4.3 – SUMMARY OF COMMENTS AND FEEDBACK ............................................................... 13 5 – FINDINGS AND RECOMMENDATIONS ................................................................................. 14
5.1 – FINDING 1: EQUITY PROGRAM ELIGIBILITY CRITERIA SHOULD FOCUS ON THE INCLUSION
OF POPULATIONS AND COMMUNITIES DISPROPORTIONATELY IMPACTED BY CANNABIS ENFORCEMENT. ............................................................................................................. 14
5.2 – FINDING 2: THE EQUITY PROGRAM APPLICATION AND PERMITTING PROCESS SHOULD BE STRUCTURED TO ENSURE EQUITY APPLICANT SUCCESS AND INCENTIVIZE ONGOING SUPPORT. .................................................................................................................................... 15
5.3 – FINDING 3: THE CITY’S EQUITY PROGRAM MUST DEVELOP AND IMPLEMENT
BENEFITS/SERVICES FOR EQUITY APPLICANTS THAT ADDRESS AND MITIGATE BARRIERS TO ENTRY. ......................................................................................................................... 16
5.4 – FINDING 4: A CRIMINAL HISTORY CAN LIMIT AN INDIVIDUAL’S ABILITY TO GAIN EMPLOYMENT, APPLY FOR GOVERNMENT ASSISTANCE, AND/OR OBTAIN A LOAN ................... 16
5.5 – FINDING 5: CITY OF RICHMOND SHOULD ADVANCE WORKFORCE DEVELOPMENT OPPORTUNITIES IN THE CANNABIS INDUSTRY. ................................................................... 17
5.6 – FINDING 6: CITY OF RICHMOND SHOULD CONSIDER ALLOCATING A PORTION OF CANNABIS TAX REVENUE TO INCREASE STAFFING LEVELS. ................................................................. 17
5.7 – FINDING 7: THE CITY SHOULD CONDUCT PUBLIC OUTREACH AND EDUCATION TO INCREASE AWARENESS OF EQUITY PROGRAM AND REDUCING SOCIAL STIGMA. .................... 17 Exhibt A
317
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
PAGE ii
5.8 – FINDING 8: THE CITY SHOULD COLLECT DATA ON GENERAL AND EQUITY APPLICANTS TO MONITOR AND MEASURE SUCCESS OF ITS EQUITY PROGRAM .............................................. 18
5.9 – FINDING 9: THE CITY SHOULD CONTINUE TO MONITOR AND UPDATE ITS EQUITY PROGRAM. .................................................................................................................... 19 APPENDICES ....................................................................................................................... 20 APPENDIX A – CANNABIS EQUITY VIRTUAL COMMUNITY MEETING INVITATION ..................... 20
Exhibt A
318
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
PAGE iii
LIST OF FIGURES
FIGURE 1 – CITY OF RICHMOND DEMOGRAPHICS BY RACE, 2019 (5-YEAR) ................................ 5 FIGURE 2 –NUMBER OF CANNABIS-RELATED ARRESTS BY YEAR (2018-2021) ........................... 5 FIGURE 3 – CANNABIS- RELATED ARRESTS BY RACE (2018- 2021) ........................................... 6 FIGURE 4 – POPULATION PERCENTAGE VS. ARREST PERCENTAGE BY RACE (2018- 2021) .......... 6 FIGURE 5 – LOW INCOME HOUSEHOLDS AS A PERCENTAGE OF POPULATION ............................... 7 FIGURE 6 – LOW INCOME HOUSEHOLDS AS A PERCENTAGE OF POPULATION WITH CANNABIS ARREST LOCATIONS ...................................................................................................... 8 FIGURE 7 – LOW INCOME HOUSEHOLDS AS A PERCENTAGE OF POPULATION WITH CANNABIS ARREST LOCATIONS ...................................................................................................... 9 FIGURE 8 – OPERATIONAL CANNABIS BUSINESSES .................................................................. 12
Exhibt A
319
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
INTRODUCTION
Long-standing and persistent obstacles to general business opportunities for affected communities that exist broadly within the United States are even more severe regarding cannabis-related businesses, largely because of the long-term consequences of cannabis enforcement associated with the racial targeting from the War on Drugs. The devastating impact of the cannabis prohibition era in California h as been felt throughout the state, especially for African Americans and Latinx populations. These communities have borne a disproportionate burden from arrest, convictions, and collateral consequences following convictions. The long- term consequences of cannabis enforcement coupled with generational poverty, education gaps, and additional barriers to entry, make it extraordinarily difficult for affected individuals to enter the regulated cannabis industry.
The primary purpose of this Cannabis Equity Assessment (“Equity Assessment”) is to identify communities that have been disproportionally impacted by enforcement of cannabis- related laws and crimes within the City of Richmond. The analysis provided in this assessment is data-informed and analyzes the history and current conditions of illegalization of cannabis in the City, including poverty and Richmond Police Department data. It reviews known characteristics of the City’s existing cannabis industry and discusses barriers to entry into the industry. Finally, the Equity Assessment provide recommendations to assist decision makers in developing and implementing the City's cannabis equity program.
Exhibt A
320
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
1 – SOCIAL EQUITY ANALYSIS
1.1 – METHODOLOGY
This Equity Assessment analyzes historical cannabis -related arrest statistics in the City of Richmond as they relate to low -income and majority minority communities to identify communities disproportionately affected by cannabis enforcement. Historical cannabis - related arrest data, provided by the Richmond Police Department (“RPD”), were overlaid on census tract data to identify spatial and demographic disparities in cannabis-related arrests and to determine arrest “hot spots” within the City. Finally, low income census block groups and neighborhoods were mapped to determine whether a nexus exists between the identified arrest hot spots and low income populations in order to identify communities disproportionately affected by cannabis enforcement.
Cannabis-related arrest data was obtained from the RPD for years 2018 to 2021. The RPD recently switched to a new reporting system, so data from before 2017 was not available for this analysis. Low income and demographic data were derived from the 2015- 2019 American Community Survey (ACS) 5 -Year Estimates. The U.S. Census Bureau provides and publishes both ACS 1- year estimates and 5 -year data
1. The 2015- 2019 5- Year
Estimates was selected for this analysis due to its increased statistical reliability for smaller geographic areas such as the City of Richmond.
1.2 – LIMITATIONS OF THE EQUITY ANALYSIS
As previously mentioned, cannabis -related arrest records used in the Equity Assessment could only be obtained for 2018 through 2021. The relatively small sample size of the arrest data limits this study’s precision. As a result, this analysis is unable to identify any long-term impacts, trends, or patterns related to cannabis enforcement in Richmond. However, this analysis utilizes available location data of cannabis-related arrests occurring between 2018- 2021, for the purposes of examining where high arrest rates overlap with economically disadvantaged neighborhoods. Despite these limitations, this Equity Analysis provides a data-informed process to identify communities disproportionately affected by cannabis enforcement.
1.3 – CANNABIS ENFORCEMENT HISTORY
Prior to the 1900’s, cannabis was cultivated throughout the United States primarily for its industrial use (as “hemp” for use in a variety of commercial items including paper, rope, textiles, etc.) and its medicinal uses with very little targeted government regulation.
Cannabis use for its psychoactive effects began to increase during the 1900’s, simultaneously a widespread national “anti-intoxicant” sentiment that resulted in prohibition of alcohol was also emerging.
1 https://www.census.gov/programs-surveys/acs
Exhibt A
321
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
As a result, beginning in the early 1900s, most States began placing restrictions on the cultivation and sales of cannabis. The first national regulation of cannabis was created by the Marihuana Tax Act of 1937 (as marijuana was spelled at the time), which placed a tax on the sale of cannabis and allowed for law enforcement to make arrests for non- payment of the tax. The Narcotic Control Act of 1961 and the Controlled Substances Act of 1970 officially made the manufacture, importation, possession, use, and distribution of cannabis illegal throughout the United States. The Drug Enforcement Agency (DEA) was created in 1973 and began increasing its enforcement activities, while recreational cannabis use was also increasing – first as popularized by the counter-culture revolution of the time and then as it moved into the more mainstream population. The term “War on Drugs” emerged following several press conferences held by then- President Richard Nixon during the Summer of 1971.
The Comprehensive Crime Control Act of 1984 increased federal penalties for cultivation, possession, or transfer of marijuana; and the 1990 Crime Control Act provided funding for local law enforcement agencies to seize private property associated with unlawful drug activities, including cannabis cultivation or distribution.
Illegal cannabis use was increasing, and so was the response from law enforcement. In their 2012 definitive analysis on the subject (“How Risky Is Marijuana Possession? Considering the Role of Age, Race and Gender”), researchers Holly Nguyen and Peter Reuter point out that:
“There has been a dramatic rise in the number of arrests for simple possession since 1991. In 2008, about 800,000 individuals were arrested for possession of small amounts of marijuana (typically less than an ounce).
That figure was more than three times the number in 1991.”
And most importantly, Nguyen and Reuter showed that although cannabis use rate was about the same for White and Black Americans, rates of arrest are about 3 times higher for Blacks:
“Although Whites and Blacks show an overall increase in arrest rates since 1991, the rates for the two races are markedly different. In 1991, Blacks were arrested twice as often as Whites. In 2008, Blacks were more than three times likely to be arrested as Whites. This starkly contrasts with their almost identical rates of use.”
Meanwhile, although the War on Drugs continued to rage and affect Black/African American, LatinX and indigenous communities disproportionately, attitudes of Cal ifornians began to change significantly in the early 1990s. The medicinal value of cannabis to HIV patients for appetite stimulation and pain management was well supported by Californians who began a 20-year acceptance of medicinal, and ultimately recreational, cannabis along with the associated de-criminalization.
Exhibt A
322
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
In 1996, Californians passed Proposition 215, the Compassionate Use Act , which allowed for the uses of medicinal cannabis. In 2011, there were notable changes in California law , and some misdemeanor marijuana statutes were re- classified as infractions, leading to a significant decline in misdemeanor marijuana arrests. The Medical Marijuana Regulation and Safety Act was adopted by the California Legislature in 2015, and in of November 2016, California voters passed Proposition 64, which legalized the possession and use of marijuana for individuals 21 years of age and older and reduced the offense degree for a number of marijuana-related offenses. Proposition 64 essentially ended cannabis prohibition in California. For example, in 2014, there were 13,300 felony arrests for cannabis in California, where that number had dropped to 1,181 by 2019.
However, much of the damage from disproportionate enforcement of cannabis-related laws had already been done, and the long-term effects of the War on Drugs, have persisted and are well documented. For example, in their 2017 research for the Cato Institute (“Four Decades and Counting: The Continued Failure of the War on Drugs“) Christopher J. Coyne and Abigail R. Hall point out that:
“A felony drug charge can also cause an individual to lose eligibility to work for the federal government; enlist in the U.S. Armed Forces; obtain an import, customs, or other license; or obtain a passport. Many private-sector job applications require criminal background checks and the disclosure of felony convictions, preventing individuals convicted of drug offenses from obtaining gainful employment. Given the rate at which minorities are arrested for crime, this has immense implications for the long- term prosperity of both individuals and broader communities.”
Further, in its 2020 “Crime in California” report, the California Department of Justice indicated that although the overall number of arrests for cannabis related activities is trending downward since legalization, arrests are still disproportionately high for non-white citizens - Hispanics accounted for nearly 42% of those arrests, followed by Blacks, at 22%, with whites at 21%.
1.4 – CITY OF RICHMOND DEMOGRAPHICS
Figure 1 below, shows the City of Richmond 2015-2019 5-Year demographic estimates. For people reporting one race alone, 36.5 percent were White; 20.2 percent were Black or African American; 0.5 percent were American Indian and Alaska Native; 15.4 percent were Asian; 0.4 percent were Native Hawaiian and Other Pacific Islander, and 21.4 percent were some other race. An estimated 5.7 percent reported two or more races and an estimated
42.5 percent were Hispanic.
Exhibt A
323
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
FIGURE 1 – CITY OF RICHMOND DEMOGRAPHICS BY RACE, 2019 (5-YEAR)
Source: U.S. Census Bureau, 2015-2019 American Community Survey 5-Year Estimates
From 2018- 2021, there were a total of 103 cannabis -related arrests citywide. Cannabis - related arrests reached the highest in 2019, with a total of 46 arrests within Richmond. From 2020-2021, the number of arrests has had a downward trend since then, as is common throughout California due to decriminalization. See Figure 2, below.
FIGURE 2 –NUMBER OF CANNABIS-RELATED ARRESTS BY YEAR (2018-2021)
Year Number of Arrests
2018 35
2019 46
2020 15
2021 7
Exhibt A
324
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
1.6 – CANNABIS-RELATED ARRESTS BY RACE/ETHNICITY
From 2018-2021, Black/African American individuals accounted for the highest percentage of cannabis-related arrests (62.1%) in the City, followed by Hispanic individuals (26.2%) as tabulated in Figure 3, below.
FIGURE 3 – CANNABIS- RELATED ARRESTS BY RACE (2018- 2021)
Source: Richmond Police Department and ACS 2019 5-year Estimate
FIGURE 4 – POPULATION PERCENTAGE VS. ARREST PERCENTAGE BY RACE (2018- 2021)
Source: Richmond Police Department and ACS 2019 5-year Estimate Exhibt A
325
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
1.7 – LOW INCOME AND MINORITY POPULATIONS
In this section, low income communities were identified throughout the City. The United States Environmental Protection Agency (EPA) developed an environmental justic e mapping tool, EJSCREEN 2 , which provides nationwide demographic and environmental information helping organizations and governmental agencies identify low -income communities. EJSCREEN collects their information from the 2013- 2017 ACS 5- year summary fil e data and defines “Percent Low Income” as the percent of a block group's households where the household’s income is less than or equal to twice the federal "poverty level. Figure 5 below, maps the percentage of the City’s population that is low income by census bock group.
F
IGURE 5 – LOW INCOME HOUSEHOLDS AS A PERCENTAGE OF POPULATION
2 https://www.epa.gov/ejscreen
Exhibt A
326
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
1.8 – IDENTIFICATION OF DISPROPORTIONATELY AFFECTED COMMUNITIES As previously discussed, the small sample size of data available for this Equity Assessment limits the study’s ability to examine the long- term impacts, trends, or patterns related to cannabis enforcement in Richmond. Nonetheless, the location data for cannabis -related arrests between 2018- 2021, is used to overlay high arrest rates with economically disadvantaged neighborhoods.
Figure 6 below, shows the areas of the City that contain a high number of both cannabis arrests and low -income households. The majority of cannabis -related arrests during this four-year period occurred in neighborhoods located in Central and South Richmond, which are the areas of Richmond with the highest percentage of low -income households.
Conversely, the neighborhoods with lower percentages of low-income households, such as the Richmond hills and Hilltop, experienced significantly fewer arrests.
FIGURE 6 – LOW INCOME HOUSEHOLDS AS A PERCENTAGE OF POPULATION WITH CANNABIS
ARREST LOCATIONS
Exhibt A
327
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
Figure 7 below, displays the number of arrests by neighborhood along with the associated percentage of low-income households.
FIGURE 7 – LOW INCOME HOUSEHOLDS AS A PERCENTAGE OF POPULATION WITH CANNABIS
ARREST LOCATIONS
1.9 – CONCLUSIONS REGARDING DISPROPORTIONATELY AFFECTED COMMUNITIES • A
nalysis of historical cannabis arrest data from 2018- 2021 indicates African Americans were disproportionately arrested for cannabis-related crimes. • Analysis of locations of cannabis -related arrest indicated most cannabis arrests were concentrated in Central and South Richmond neighborhoods, which are also areas of Richmond with the highest percentage of low-income households.
Neighborhood Number of Arrests Per cent of Arrests
Percent Low-Income
Households
Iron Triangle 22 26% 49%
Nor
th & East 16 19% 39%
Belding/Woods 6 7% 50%
City Center 5 6% 52%
Coronado 5 6% 47%
Parkview 4 5% 33%
Carriage Hills North 3 4% 10%
Cortez/Stege 3 4% 45%
Fairmede/Hilltop 3 4% 31%
Richmore Village/Metro Square 3 4% 50%
Santa Fe 3 4% 31%
Marina Bay 2 2% 27%
May Valley 2 2% 16%
Southwest Richmond Annex 2 2% 36%
Atchison Village 1 1% 39%
EastShore 1 1% 39%
Park Plaza 1 1% 39%
Point Richmond 1 1% 12%
Pullman 1 1% 52%
Shields-Reid 1 1% 42%
Exhibt A
328
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
2 – BARRIERS TO ENTRY
2.1 – OVERVIEW OF KEY BARRIERS
Understanding the barriers to entry into the cannabis industry for populations and communities who have been disproportionately or negatively impacted by cannabis enforcement is an important factor when developing and implementing an equity program.
The success of a local equity program is dependent on the program’s ability to reduce and eliminate these barriers. This section examines several key barriers to entry, which can be summarized into the following categories: Financial, Technical, and Criminal.
F
INANCIAL BARRIERS
When starting any business, financial barriers are among of the most common obstacles entrepreneurs face due the high costs of local and State licensing fees and the tax burdens, especially in the regulated cannabis industry. Financial barriers present an even bigger challenge for economically -disadvantaged individuals who have been disproportionately impacted by cannabis enforcement.
• Access to capital or financing – start-up and operational Existing federal banking regulations prevent most financial institutions from lending to cannabis businesses. Hence, cannabis businesses must rely on access to capital from personal wealth, friends and family, and investors for start -up costs. The impeded access to banking services also negatively affects the ability for cannabis businesses to run as efficiently. This barrier is more pronounced for disproportionately affected communities.
• Access to real estate
Persistent issues of discrimination regarding access to real estate may be a barrier for affected communities to operate in optimal locations. Also, travel times and costs may be elevated.
• Licensing and regulatory fees
In addition to traditional business start -up (e.g., real estate, inventory, equipment, staffing, marketing, etc.) and operational costs, regulated cannabis business typically have a higher financial burden from state and local municipalities’ licensing and regulatory fees.
T
ECHNICAL BARRIERS
• Business ownership
The cannabis industry is highly specialized and requires significant industry knowledge and access to a network of regulated vendors. Additionally, traditional business experience is needed such as business plans, payroll taxes, inventory management, etc. Lastly, the cannabis business marketplace has historically been secretive and underground resulting in information and experience flowing slowly to Exhibt A
329
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
new interested parties. Again, these barriers are more pronounced for disproportionately affected communities.
• Legal and regulatory
The cannabis industry is highly regulated and requires unique experience and knowledge of complex state and local compliance and documentation – often requiring significant resources and access to learn and master.
• Awareness
Awareness of the significant business opportunities within the legal and regulated cannabis marketplace continues to be a significant barrier. Moreover, too often, equity-based programs intended to support disproportionately affected communities’ access into the cannabis business have also struggled to be wel l- known within these communities. Additional outreach is needed.
• Distrust of government
Members of affected communities often distrust the government and are more likely to be cautious to participate in the cannabis industry, especially since it was underground and illegal for many years.
C
RIMINAL BARRIERS
Criminal records (as often exposed through background checks) significantly impede an individual’s ability to succeed in this industry, both as an owner and/or an employee. Former felons are often discriminated by employers and in many cases earn a lower wage, get recommended for jobs less often, and tend to associate with individuals that also have fewer opportunities. In addition, a past criminal history can still present significant challenges for cannabis operators such as accessing financing, loans, or even signing a lease.
Exhibt A
330
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
3 – OVERVIEW OF CANNABIS-RELATED BUSINESS AND ACTIVITIES
3.1 – CITY OF RICHMOND CANNABIS LEGISLATIVE HISTORY
The City of Richmond began regulating medical cannabis businesses in September of 2010 following the adoption of Ordinance No. 28- 10, which added Chapter 7.102 (Medical Marijuana Collectives) to the Richmond Municipal Code (RMC) to regulate the collective cultivation and dispensing of medical marijuana and restricted the number of medical marijuana collectives to three. Shortly thereafter in November of 2010, City of Richmond voters approved Measure V, placing a 5% gross receipts tax on all cannabis businesses. In 2016, Ordinance No. 7-16 N.S. was passed, amending Chapter 7.102 of the RMC to allow for cultivation and manufacturing businesses.
Following the Governor signing into law the Medical Marijuana Regulation and Safety Act (“MMRSA”) (SB 643, AB 266, and AB 243), on November 16, 2016, the City adopted Ordinance No. 16-16, repealing Chapter 7.102 and adding Article 15.04.610.270 "Medical Marijuana Uses," which required a conditional use permit for medical marijuana businesses under the framework of MMRSA. In addition, this ordinance expanded the medical marijuana uses to include distribution and testing operations.
A year and a half later, in December 2017, following the State approval of Proposition 64, which legalized adult -use commercial cannabis businesses in California, the City adopted ordinance No. 25- 17 which granted existing medicinal cannabis businesses that were operating in the City at that time, the authority to temporarily conduct adult -use cannabis activities. At this time, City Council directed staff to update the City’s ordinance to allow for adult-use activities. Ordinance No. 16- 19, adopted in 2019, updated the City’s regulations to allow for adult-use cannabis activities and to provide consistency with State regulations.
3.2 – CURRENT CANNABIS BUSINESSES
Since 2010, the City has issued a total of 26 commercial cannabis businesses permits. To date, 12 cannabis permittees are operational. Figure 8 provides an overview of the current cannabis business operating in the City.
FIGURE 8 – OPERATIONAL CANNABIS BUSINESSES
Type Operational Cannabis
Businesses
Retail (Dispensaries) 3
C
ultivation 8
Manufacturing 1
Exhibt A
331
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
4 – OUTREACH AND EDUCATION
Over the course of the past couple of years, several cities and counties across the State have proposed and implemented a range of social equity programs with the common goal of addressing long- standing inequities in the cannabis industry. Thus far, many of these social equity programs have suffered setbacks along the way, which can be traced back to their failure to effectively target their outreach and include and engage the impacted communities in the early stages of program development.
In addi
tion to the analysis in Section 1 above, data was collected through a combination of one-on-one stakeholder interviews, public community meetings, and surveys to support the Equity Assessment and to provide policy recommendations to guide the City with the development of their equity program.
4.1 – STAKEHOLDER INTERVIEWS
Primary data was collected through one-on-one interviews with key stakeholders in the City of Richmond. The purpose of the interviews was to provide insight on the community, opportunities, challenges, and to help identify key points of interest related to the City’s Cannabis Equity Program. A total of 7 interviews were conducted between August of 2021.
Stakeholders represented the following sectors:
• Current cannabis operators
• Prospective cannabis operators
• Prospective equity applicants
• Private stakeholders (non-cannabis)
• Local business leaders
• Economic development
4.2 – COMMUNITY MEETINGS
Two virtual public community meetings, h osted by the City Manager’s Office, Economic Development and SCI Consulting Group, were held on October 19, 2021, at noon and October 20, 2021, at 6:00 P.M. The intent of the meeting was to provide information about the City’s proposed Cannabis Social Equity Program, as well as to solicit public comment to provide insight on the community, opportunities, and challe nges in developing the City’s Cannabis Equity program. Approximately 30 individuals attended the community meetings.
4.3 – SUMMARY OF COMMENTS AND FEEDBACK
Below is a summary of the oral testimony and comments received from the stakeholder interviews and community meeting regarding the City’s Cannabis Equity Program.
Individuals provided feedback on the barriers to entry that equity applicants face, equity program benefits, and general issues with the City’s Cannabis Regulatory program Exhibt A
332
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
5 – FINDINGS AND RECOMMENDATIONS
The following section presents key findings from this Equity Assessment and presents recommendations regarding policy options to enhance and improve equitable access and ensure diversity and inclusion in the cannabis industry. To assist decision makers in developing and implementing the City's cannabis equity program, the following recommendations have been developed.
5.1 – FINDING 1: EQUITY PROGRAM ELIGIBILITY CRITERIA SHOULD FOCUS ON THE INCLUSION
OF POPULATIONS AND COMMUNITIES DISPROPORTIONATELY IMPACTE D BY CANNABIS ENFORCEMENT.
Analysis of cannabis-related arrest data indicates minority populations have been subjected disproportionately by cannabis enforcement. Furthermore, the analysis determines there is a nexus between areas of high concentrations of low-income populations and a high number of cannabis arrests. Careful consideration should be placed on establishing the eligibility criteria. First and foremost, the eligibility requirements should focus on serving the communities and populations that were disproportionately affected by cannabis enforcement. The requirements should be adequately structured and defined to capture the majority of individuals who have been previously impacted by the war on drugs.
The City should consider the following criteria:
• Cannabis conviction or arrest history
• Immediate family member with a cannabis conviction or arrest history • Low-income status
• Residency
• Ownership
• Eligibility Tiers
R
ECOMMENDATION: CONVICTION HISTORY
The City’s equity program should prioritize individuals who have been previously arrested or convicted for cannabis-related offenses. At a minimum, having a previous cannabis-related arrests should be required for eligibility. Rather than limiting cannabis -related-arrests and convictions to those that occurred in Richmond, arrests or convictions within the state could also be considered for eligibility. This approach recognizes that convictions have a profound impact on an individual no matter where they occurred. Furthermore, it is recommended that this criterion is also applicable to having an immediate family member with a cannabis conviction or arrest history as well.
R
ECOMMENDATION: LOW-INCOME STATUS
Low income status is a common eligibility requirement used by many equity programs developed elsewhere in the State. Establishing a defined low -income status helps to limit participation for those in need of assistance. Typically, this is based on a certain percentage of annual family income that is below the Area Median Income (AMI), such as at or below Exhibt A
333
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
80 percent of the AMI. Low -income status can be confirmed and verified with federal and state income tax returns, payroll stubs, social security benefit letters (i.e. Medi - Cal/CalWORKs, supplemental security income, or social security disability).
RECOMMENDATION: RESIDENCY CONSIDERATION
To ensure the City's program benefits Richmond residents, who have been impacted by cannabis enforcement and the War on Drugs, the City should implement a residency requirement. At a minimum, the City ’s equity program should be available to both current and former Richmond residents. Similar to other equity programs established in California, the residency requirement can be based on cumulative years of residency or a minimum.
For example, the City of Long Beach requires a minimum of 3 years, the City of Sacramento requires 5 consecutive years, and the City of Oakland requires no less than 10 years. In addition, residency requirements could be extended to include individuals who have attended school in Richmond.
R
ECOMMENDATION: OWNERSHIP CONSIDERATION
The City should consider requiring an ownership percentage threshold that enables equity applicants to benefit from ownership yet be flexible enough to accommodate various ownership structures . Social equity programs established elsewhere in the State often require at least 51% ownership, which ensures equity applicants maintain majority ownership and decision- making power, and thus providing protection from being taken advantage by potential investors or business partners. However, requiring 51% ownership may unintentionally reduce the interest of outside investors and, consequently, act as a barrier to equity applicants. It is recommended that the City consider an ownership percentage between 40%-51%. Nonetheless, a certain amount of oversight and resources, such as legal assistance, should be available to equity applicants.
R
ECOMMENDATION: ELIGIBILITY TIERS
The City should consider establishing a tiered eligibility structure to provide proporti onal benefits to equity applicants. Under a tiered structure, more valuable services can be provided to individuals who have been impacted the most, but also optimizes the use of limited resources.
5.2 – FINDING 2: THE EQUITY PROGRAM APPLICATION AND PERMITTING PROCESS SHOULD BE
STRUCTURED TO ENSURE EQUITY APPLICANT SUCCESS AND INCENTIVIZE ONGOING SUPPORT.
RECOMMENDATION:
To improve equity applicant success and incentivize ongoing support for equity applicants, the City should consider the following:
• Priority Applications and Permit Processing: Consider a prioritized permit process for equity applicants for a quicker approval process. • Permit Caps: The City’s current regulations restrict the number of cannabis retail permits to three. The City of Richmond should consider increasing the number of Exhibt A
334
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
storefront retail or non- storefront retail permits allowed in the City and reserving them exclusively for equity applicants.
• Provisional Approval: Consider allowing for provisional approval of permits , prior to an applicant securing a location to operate, to allow equity applicants to overcome financial barriers. Provisional approval may incentivize potential investors to provide capital investments and also assist the applicant with finding a location to operate. • Amnesty Program: Consider an amnesty program to encourage existing nonconforming businesses to transition to the legal market.
5.3 – FINDING 3: THE CITY’S EQUITY PROGRAM MUST DEVELOP AND IMPLEMENT
BENEFITS/SERVICES FOR EQUITY APPLICANTS THAT ADDRESS AND MITIGATE BARRIERS TO ENTRY.
RECOMMENDATION:
The City should consider including a variety of services provided to equity applicants to mitigate and address the barriers to entry identified in Section 2 of this report.
Barriers Recommendations
Financial • Loan or grant program for start -up capital and ongoing business expenses
• Fee deferral program or reduced application fees
• Coverage of fees associated with training or certification programs
Administrative/
Technical
• Application assistance and permitting workshops
• Cannabis regulatory compliance training
• Pro bono legal assistance
Business Acumen • Creation of training curriculum or partnership with local academic institutions or businesses
• General business development training
• Cannabis-specific business training
• Cannabis employment training
• Apprenticeship/mentorship programs
• Leverage existing resources and partnerships
Criminal • Create a program for expungement services to assist those with past cannabis convictions to get their records
5.4 – FINDING 4: A CRIMINAL HISTORY CAN LIMIT AN INDIVIDUAL ’S ABILITY TO GAIN
EMPLOYMENT, APPLY FOR GOVERNMENT ASSISTANCE, AND/OR OBTAIN A LOAN RECOMMENDATION:
The City should consider developing a program to host community expungement events for individuals who have been d isproportionately impacted by cannabis enforcement in coordination with the District Attorney’s Office, the Courts, and other relevant partners. The Contra Costa County District Attorney’s Office, in partnership with Code for America, has Exhibt A
335
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
developed a Proposition 64 Relief program to streamline and automate the expungement process.
5.5 – FINDING 5: CITY OF RICHMOND SHOULD ADVANCE WORKFORCE DEVELOP MENT OPPORTUNITIES IN THE CANNABIS INDUSTRY.
In the cannabis industry and other industries alike, a common barrier to success is a lack of training for high-quality, well-paying jobs. As the cannabis industry continues to grow, there is an immediate need for skilled and knowledgeable employees. I t is essential that businesses have access to skilled and local talent through dedicated workforce development efforts.
R
ECOMMENDATION:
The City should develop a workforce development program that considers the following:
• Require all cannabis businesses to provide equitable employment • Creation of a cannabis training program
• Establish partnerships with existing curriculum developers to assist with entrepreneurship and workforce development
• Leverage existing cannabis training programs
5.6 – FINDING 6: CITY OF RICHMOND SHOULD CONSIDER ALLOCATING A PORTION OF CANNABIS TAX REVENUE TO INCREASE STAFFING LEVELS.
The City must ensure there is adequate staffing, who are trained and educated, that are available to assist and shepherd equity applicants through the application and permitting process. Inadequate infrastructure in place to assist equity applicants has resulted in setbacks for other municipalities in the State who have implemented equity programs.
R
ECOMMENDATION:
The City should consider allocating funding from their cannabis tax revenue to increase and train staff to assist equity applicants.
5.7 – FINDING 7: THE CITY SHOULD CONDUCT PUBLIC OUTREACH AND EDUCATION TO INCREASE AWARENESS OF EQUITY PROGRAM AND REDUCING SOCIAL STIGMA.
The transition from an illicit to a regulated, legal cannabis market is hampered by distrust in government, especially for those who have been victimized by cannabis enforcement and by those enforcing government laws . Restoring trust between disproportionately affected communities and the government is essential to the success and effectiveness of a local equity program. Furthermore, the negative stigma surrounding cannabis use and cannabis business ownership by people of color and minorities presents additional barriers due to the fact that these individuals are often times perceived as criminals and drug dealers, rather than entrepreneurs.
Exhibt A
336
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
RECOMMENDATION:
The City should consider developing and implementing outreach and educational campaigns focuses on increasing awareness, restoring government trust, and destigmatizing cannabis use and business ownership:
• To spread awareness of the City’s equity program and to repair trust:
o Target outreach to disproportionately impacted neighborhoods and communities
o Identify and collaborating with credible leaders/stakeholders within these communities.
o Develop outreach materials that are culturally sensitive and are clear, concise, and accessible to those with low literacy.
• To reduce social stigma:
• Consider a community-wide public outreach and education campaign • Educate about the racialized history of cannabis prohibition and enforcement
• Provide facts about the health impacts of cannabis use • Communicate the value of cannabis business and local ownership
5.8 – FINDING 8: THE CITY SHOULD COLLECT DATA ON GENERAL AND EQUITY APPLICANTS TO
MONITOR AND MEASURE SUCCESS OF ITS EQUITY PROGRAM
RECOMMENDATION:
The City should consider incorporating the following data metrics into the application, permitting and permit renewal process:
• Number of equity applicants to apply
o Types of drug related offenses
o Income status
o Race
o Ethnicity
o Gender
o Sexual identity
o Residency status
o Ownership structure
• Workforce characteristics
o Total number of employees
o Number of local employees
o Employment Status
• Equity program-specific data
o Number of applicants eligible for equity program
o Number and types of services provided to equity applicants o Number of equity program applicants to receive licenses
Exhibt A
337
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
5.9 – FINDING 9: THE CITY SHOULD CONTINUE TO MONITOR AND UPDATE ITS EQUITY PROGRAM.
RECOMMENDATION:
• Monitor and share progress of the Equity Program;
• Monitor and share trends in the emerging legal cannabis industry; • Identify areas for course correction and/or unexpected consequences; and • Demonstrate an ongoing commitment to data-informed decision- making and strategic planning to ensure Richmond’s strong transition to a legal cannabis industry.
Exhibt A
338
CITY OF RICHMOND
CANNABIS EQUITY ASSESSMENT
OCTOBER 2021
APPENDICES
APPENDIX A – CANNABIS EQUITY VIRTUAL COMMUNITY MEETING INVITATION Exhibt A
339
City of Richmond
Cannabis Equity Program Manual V1.0 (2021)
1. Program Purpose
The City of Richmond has had a long commitment of identifying social, economic, and health inequities and creating programs and adopting policies to address these inequities. In addition, as demonstrated by the City of Richmond Cannabis Equity Assessment, populations and communities within the City of Richmond have been adversely impacted by the criminalization of cannabis and poverty. As such, the City has adopted the Cannabis Equity Program Manual (“Program”) described herein.
The City of Richmond Cannabis Equity Program Manual is designed to foster equitable access and ensure diversity and inclusion in the cannabis industry by reducing the barriers of entry into the commercial cannabis industry for individuals and communities impacted by the disproportionate enforcement of cannabis crimes in Richmond. The purpose of this manual is to describe the qualifications for, and services to be provided by, the Richmond Cannabis Equity Program. All services and factors listed in this manual are and continue to be at the discretion of City of Richmond and are subject to updates and revisions in accordance with the Program, as approved by the City Council.
2. Definitions
a. “Applicant” means an individual or business who makes a formal application to be admitted in the Cannabis Equity Program.
b. “Business” means a firm, organization, association, partnership, business trust, corporation, company, or like entity.
c. “Cannabis Arrest or Conviction” means an arrest or conviction in California for any crime under the laws of the State of California or the United States relating to the sale, possession, use, manufacture, or cultivation of Cannabis that occurred prior to November 8, 2016.
d. “Cannabis Equity Program Manual” or “program” means the City’s Cannabis Equity Program Manual.
e.
“Direct Technical Assistance” means support provided to equity applicants to acquire the knowledge and/or skills necessary in order to gain entry to, and to successfully operate in, the regulated cannabis marketplace.
f. “Immediate family member” means a person in the first, second, or third degree of lineal or collateral kinship as defined in chapt er 13 of Part 1 of Division 1 of the California Probate Code.
340
g. “Incubator” means a cannabis business which as a condition for receiving priority processing, either:
i. Hosts a participant; 30% of its workforce are Classification 1 or 2 eligible participants, measured by hours worked; and contracts no less than 51% of its cannabis products or services and ancillary business support with eligible participants; or
ii. Is a shared manufacturing cannabis business and donates at least 10% of its hours of operation to allow participant(s) to utilize 100% of its business’ floor space and equipment; or
iii. Is a cannabis business that sells, gives or otherwise transfers no less than a 33% equity share in the Incubator’s cannabis business to eligible program participants; 30% of its workforce be Classification 1 or 2 eligible; and contracts no less than 30% of its cannabis and ancillary business with Classification 1 or 2 eligible participants.
Incubators shall host, donate to, employ, contract with, sell, give, or transfer to participants that reside within the City in which the Incubator sits. If no such participants exist, Incubators shall utilize participants from other applicable areas. h. “Host” means to rent or lease operations-ready building or floor space to a participant that resides in the city where the cannabis business sits, if any, free of charge for two years, or at a rate of 33% of the market value for four years; and to provide that participant with business or technical assistance (e.g., business plan development, coaching on access to capital, and establishing a lawful business, or use of equipment). If no such participants exist, participants from other applicable areas shall be utilized.
i. “Individual” means a person twenty-one (21) years of age or older.
j. “Low-income household” means a household whose income does not exceed 80% of Area Median I ncome (AMI) applicable to Contra Costa County, adjusted for family size as published and annually updated by the United States Department of Housing and Urba n Development pursuant to section 8 of the United States Housing Act of 1937.
k. “Ownership interest” means a right, proportionate to the interest held, to share in the business’s profits, including dividends, distributions, or other payments; a right, proportionate to the interest held, to the proceeds of a sale of the business’s assets, liquidation of the business, merger of the business into another business, or another transaction that would signify the end of the original business; and a right, proportionate to the interest held, to vote on fundamental decisions relating to the business.
l. “Priority processing” means the City will review and consider for approval applications of Program participants for cannabis related business and conditional use permits , if any, before any other cannabis related business or conditional use permit application received by the City that would otherwise be processed on a first come, first served basis. 341
m. “Program Participant” or “participant” means an individual or a business that has been admitted to participate in the Cannabis Equity Program.
n. “Substantive amendment” means any amendment to the Program Manual that will result in either:
i. Changes to the Program Eligibility Classification; or ii. Changes existing processes or responsibilities
3. Applicability of Richmond Municipal Code Article 15.04.610.270 All Program participants are subject to the provisions of Article 15.04.610.270 of the Richmond Municipal Code.
4. Review Process
The City Manager or their designee shall review and approve all Program applications that meet the eligibility requirements described in Section 5 below. If an application is denied that applicant may appeal to the City for further evaluation and a final determination.
5. Program Eligibility
An applicant must provide documentation, as described in Section 6 below, that sufficiently demonstrates that the applicant satisfies any one of the following Classifications:
a. Individuals. An individual that is eligible to participate in the Program is either:
i. Classification 1 . A current or former resident of the City of Richmond who previously resided or currently resides in a low-income household and was either:
a) arrested or convicted for a cannabis-related crime; or is b) an immediate family member of an individual described in subsection a of Classification 1 or Classification 2.
ii. Classification 2 . A current or former resident of the City of Richmond who previously resided or currently resides in a low -income household and meets at least one (1) the following criteria:
1. Has lived in the City of Richmond for at least four (4) years; or
2. Attended a school in the City of Richmond under the jurisdiction of the West Contra Costa Unified School District for five (5) years, either consecutively or in total, during the period 1971-2016; or
3. Has lived in public housing in the City of Richmond for at least four (4) years; or
4. After 1995, either lost housing in the City of Richmond, as evidenced by eviction, foreclosure, or revocation of housing subsidy. b. Businesses. A cannabis business that is eligible to participate in the program is either:
i. Classification 3. A cannabis business with not less than 51% ownership interest by individuals meeting Classification 1 or 2 criteria and their business resides within the City of Richmond . If no such individual exists, individuals meeting Classification 1 or 2 criteria from other applicable areas may be utilized. 342
ii. Classification 4. A cannabis business that is an Incubator.
6. Documentation and Review.
An applicant shall provide the following with its application for the Program, in addition to any other documentation that the City of Richmond deems necessary to determine the applicant’s eligibility:
a. Proof of Income. Proof of income shall be supported with federal and state tax returns and at least one of the following documents from the last five (5) years: two months of pay stubs; proof of current eligibility for General Assistance, food stamps, Medi- Cal/CalWORKS, supplemental security income, or social security disability, or similar documentation.
b. Proof of residency. Proof of residency shall be supported by a minimum of two of the following documents: California driver’s or identification card records, property tax billings and payments, signed rental agreement, verified copies of state or federal ta x returns with an address in the geographic area of the C ity of Richmond, school records, medical records, banking records, Richmond Housing Authority records, Contra Costa Housing Authority, or utility, cable, or internet company billing and payment records. c. Proof of arrest or conviction of a cannabis related crime. Proof of an arrest or conviction of a cannabis related crime shall be demonstrated by federal or state court records expungement documentation, or any other applicable law enforcement record. d. Proof of loss Housing. Proof of loss housing shall be supported by a letter of foreclosure, notice of eviction, or notice of revocation a housing subsidy.
7. Program Services
Services which may be provided by the Program may include, depending on need and availability of funds from grants or other sources: direct grants, direct loans, technical assistance such as:
business plan development, business mentoring, assistance securing capital, business needs assessment, direct loans, loan readiness assessment, market assessment, data and research strategies and support, assistance with establishing a legal entity, assistance with criminal records expungement, lease negotiation assistance, small business legal considerations, me ntoring, and assistance with general business operations, cannabis-specific regulatory operations, fiscal management, marketing/social media, technical training, employee training, and regulatory compliance. The City will also work with local partners and stakeholders to develop a workforce development and educational program to assist with a creation of a well- trained, qualified, and diverse workforce, including transitional workers.
A Program Participant shall be entitled to receive the following benefits based on eligibility and approval:
a. Classification 1, 2, & 3: Participants shall receive the following:
i. All support services offered under the program.
ii. Priority processing of the participant’s cannabis business and conditional use permits.
iii. Grant and/or loans to assist with startup and ongoing costs. 343
iv. Priority for retail and/or non -storefront cannabis permits should additional permits be made available by the City Council.
b. Classification 4: Participants shall receive the following:
i. Qualified and ready program participants to host.
ii. The City will provide priority processing of the participant’s cannabis related business and conditional use permits.
8. Program Administration.
a. The City Manager, or the City Manager’s designee, is authorized to make amendments that are not substantive to the Program. Substantive amendments must be approved by the City Council.
b. Principle a dministration and c oordination of services shall primarily be performed by Economic Development staff.
c. Economic Development staff shall receive and process all applications to determine eligibility of equity program participants.
d. Economic Development staff shall administer awards to all equity program grantees. e. When possible, Economic Development staff will provide services to applicants and participants with the intent to have the program reimburse the City for the cost of those services. If City staff is unable to provide services, refer to Section 9, Provision of Services. f. Economic Development staff shall monitor and report on all program services provided through the Program, at least annually and more frequently as directed by the City Council, state law, or regulation.
9. Provision of Services.
a. Economic Development staff serves as the liaison between program participants and the agency(ies) and firm(s) providing eligible services. Agencies and firms may include, but are not limited to:
i. City of Richmond’s City Manager’s Office Economic Development and Community Development Departments
ii. Business development organizations and firms
iii. Workforce development agencies and firms
iv. Banking and financial institutions
v. Commercial real estate brokerages and associations
b. The City Manager may enter into an agreement, on behalf of the C ity through the City’s competitive selection process in accordance with the City Municipal Code, with qualifying internal or external agencies or firms capable of providing the services described in this Program Manual. These services may include, but are not limited to:
i. Business Development
ii. Technical Assistance
iii. Legal Assistance
iv. Workforce Development
v. Grant and Loan Administration
344